Australian Securities & Investments Commission, in the matter of MG Responsible Entity Limited v MG Responsible Entity Limited [2017] FCA 1531

FEDERAL COURT OF AUSTRALIA

Australian Securities & Investments Commission, in the matter of MG Responsible Entity Limited v MG Responsible Entity Limited [2017] FCA 1531 File number(s): VID 1244 of 2017

Judge(s): DAVIES J

Date of judgment: 15 December 2017

Catchwords: CORPORATIONS – Contravention of s 674(2) of the Corporations Act 2001 (Cth); Facts agreed between the parties including agreement that the contravention was serious for the purpose of section 1317G(1A) of the Corporations Act; pecuniary penalty pursuant to subsection 1317G(1A) of the Corporations Act

Legislation: Corporations Act 2001 (Cth)

Date of hearing: 6 December 2017

Registry: Victoria

Division: General Division

National Practice Area: Commercial and Corporations

Sub-area: Corporations and Corporate Insolvency

Category: Catchwords

Number of paragraphs: 32

Counsel for the Plaintiff: Mr JWS Peters QC and Ms N Moncrief

Solicitor for the Plaintiff: Australian Securities and Investments Commission

Counsel for the Defendant: Mr MC Garner

Solicitor for the Defendant: Herbert Smith Freehills

ORDERS VID 1244 of 2017 IN THE MATTER OF MG RESPONSIBLE ENTITY LIMITED BETWEEN: AUSTRALIAN SECURITIES & INVESTMENTS COMMISSION Plaintiff

AND: MG RESPONSIBLE ENTITY LIMITED Defendant

JUDGE: DAVIES J DATE OF ORDER: 15 DECEMBER 2017

THE COURT DECLARES THAT: 1. The defendant contravened section 674(2) of the Corporations Act 2001 (Cth) ("the Act") on and from 22 March 2016 continuing until 8:48 am on 27 April 2016 by failing to notify the Australian Securities Exchange ("the ASX") that circumstances had arisen a consequence of which was that Murray Goulburn Co-operate Co. Limited was unlikely to achieve the forecast Available Weighted Average Southern Region Farmgate Milk Price for the financial year ending 30 June 2016 ("FY16") of $5.60 per kilogram of milk solids and full-year net profit after tax for FY16 of appropriately $63 million as stated by MG and MGRE in their ASX announcements dated 29 February 2016 titled "Murray Goulburn – Half Year Financial Results News Release" and "Murray Goulburn – Half Year Financial Results Presentation". 2. The contravention particularised at paragraph 1 of these orders was serious within the meaning of section 1317G(1A)(c)(iii) of the Act.