Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Midavia, Richwhite insider trading case settled

18 June 2007

News Release

Securities Commission settles insider trading case with Midavia and Richwhite

The Securities Commission has reached a settlement of the insider trading proceeding against Midavia Rail Investments Ltd BVBA (previously known as Pacific Rail Limited NV), which was a former Tranz Rail shareholder, and David Richwhite, a former director of Tranz Rail.

Midavia and Mr Richwhite have agreed to pay $20 million. This represents a payment towards the compensatory amount sought by the Commission and includes contributions for interest and the Commission’s costs of the proceeding.

Midavia and Mr Richwhite have agreed to make this payment without any admission of liability. They consider they have defences to the Commission’s claims against them.

The settlement has been approved by the High Court. No judgment has been entered against Midavia and Mr Richwhite.

Four other defendants to the Commission’s insider trading proceeding have already settled. Berkshire Fund III, a former Tranz Rail shareholder and former director Carl Ferenbach, settled with the Commission in March last year. Michael Beard, former managing director and chief executive officer of Tranz Rail, settled in December 2004, and Mark Bloomer, former chief financial officer of Tranz Rail, settled in May 2005.

This settlement brings the total amount paid by the six defendants to over NZ$27.5 million. The money will be paid to Toll Holdings to be held in trust pending reimbursement to the Commission of the costs it has incurred in bringing the proceedings, and distribution to shareholders who suffered losses as a result of the trading in Tranz Rail shares in the first half of 2002. That process also has to be approved by the High Court.

ENDS

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

'Unprecedented' Conditions: Genesis Coal Burn 5-Yr High

Coal-fired generation from Genesis Energy’s Huntly operations was the highest in more than five years in the December quarter, as a combination of low hydro storage and plant outages were compounded by tight natural gas supplies. More>>

ALSO:

Climate Summary: NZ’s Equal-2nd Warmest Year On Record

Annual temperatures were above average (+0.51°C to +1.20°C above the annual average) across the majority of New Zealand... 2018 was the equal 2nd-warmest year on record for New Zealand, based on NIWA’s seven-station series which began in 1909. More>>

ALSO:

GDP: Economic Growth Dampens In The September Quarter

Gross domestic product (GDP) rose 0.3 percent in the September 2018 quarter, down from 1.0 percent in the previous quarter, Stats NZ said today... GDP per capita was flat in the September 2018 quarter, following an increase of 0.5 percent in the June 2018 quarter. More>>

ALSO:

Up $1.20: $17.70 Minimum Wage For 2019

Coalition Government signals how it will move toward its goal of a $20 p/h minimum wage by 2021... “Today we are announcing that the minimum wage will increase to $17.70 an hour on 1 April 2019." More>>

ALSO: