As a result of an ASIC, (Australian Securities and Investments Commission) investigation, the former chief executive and executive chairman of Kimberley Diamonds Limited today was charged with offences under the Corporations Act for allegedly issuing false information to the market.
Appearing in Sydney’s Central Local Court via video link, Alexandre Alexander was charged with four offences relating to false and misleading statements made by Kimberley Diamonds to the Australian Securities Exchange (ASX) between October 2013 and March 2014.
It is alleged the statements, which related to the company’s future earnings forecasts, and which were authorised by Mr Alexander, were false and misleading because they failed to disclose the fact that they assumed that they would obtain a 30% increase in the price that Kimberley Diamonds would receive in the last quarter of the 2014 financial year, for its rare yellow diamonds.
Mr Alexander’s court appearance follows his arrest by officers from the Australian Federal Police (AFP) at Sydney airport early this morning. Mr Alexander was returning from overseas.
Mr Alexander applied for and was granted bail subject to strict travel restrictions, including a condition he surrender his passport to ASIC. The matter was adjourned and will return to Sydney’s Downing Centre Local Court on 10 November 2015.
The Commonwealth Director of Public Prosecutions is prosecuting this matter.
