'Insufficient evidence' of Nuix insider trading: ASIC
Make us a preferred source
Make us a preferred source on Google
More news: The corporate regulator confirmed that it has ended its investigation into the acquisition of Nuix shares by the company's CEO Jonathan Rubinsztein, concluding there was "insufficient evidence" that insider trading laws were breached.
Nuix shares were down 0.98% to $2.02 by 1:01pm AEDT.
What they said: An Australian Securities and Investments Commission (ASIC) spokesperson said: "ASIC has concluded that following an extensive investigation there is insufficient evidence to establish to a court that there has been a breach of insider trading laws during 5 to 8 September 2022 by Jonathan Rubinsztein in Nuix".
"A detailed and thorough investigation was undertaken that included issuing compulsory notices to produce documents and attend examinations by various individuals including Nuix officers and conducting an exhaustive review of Nuix internal records including communications between relevant officers and material obtained from other sources," they said
"The investigation did not identify evidence to suggest that at the time Mr Rubinsztein purchased Nuix shares he was aware that an approach had been made by Reveal. This was consistent with information provided by Nuix to the ASX in response to a query letter from the ASX concerning Mr Rubinsztein’s trading.
"ASIC’s investigation also determined that the ASX listing rules did not require disclosure of the terms of the offer by Reveal given the offer was incomplete and confidential, nor was Nuix obliged to provide disclosure in response to the media speculation.
"ASIC may recommence its investigation, or commence enforcement action, if circumstances change."
ASIC drops allegations against Nuix CEO
The news: The Australian Securities and Investments Commission (ASIC) will not take any enforcement action on Nuix's CEO and has concluded its investigation relating to the acquisition of Nuix shares.
The context: In a release to the market, Nuix reaffirmed its position that its CEO Jonathan Rubinsztein acquired company shares with prior approval and during an approved trading window.
ASIC previously opened an investigation into Rubinsztein after he purchased 800,000 shares in the company in September 2022, at the same time Nuix was being approached by US-based Reveal over the potential purchase of some of its assets.
Later the same month, ASIC commenced proceedings in the Federal Court against Nuix for misleading the market by not disclosing its financial underperformance after the company's initial public offering in December 2020.
Nuix is still awaiting the outcome of those charges, which allege the company of breaching continuous disclosure requirements, and misleading and deceptive conduct. The regulator also claims the Nuix board allowed false information to be published to the market and not corrected.
The source: ASX announcement
