Stockbroker banned for five years

15/04/2015 - 11:53

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The corporate watchdog has banned stockbroker Anton Kerstens from providing financial services for five years, following an investigation that found he had manipulated the share price of Perth-based uranium explorer Cauldron Energy.

The corporate watchdog has banned stockbroker Anton Kerstens from providing financial services for five years, following an investigation that found he had manipulated the share price of Perth-based uranium explorer Cauldron Energy.

The Australian Securities and Investments Commission found that, for about five months in 2012, the Sydney broker was involved in a number of dealings through his private company, Ark Equities, which had the effect of supporting Cauldron’s share price at a time it was falling.

“ASIC found that these dealings created a false and misleading appearance of the price for the shares in Caldron, and were intended to affect the trading behaviour of others in the market,” ASIC said.

“ASIC’s investigation also found that although some of Ark Equities’ clients genuinely wanted to accumulate shares in Cauldron, Mr Kersten’s dealings were not consistent with a legitimate strategy to buy the maximum amount of shares at the best price.”

Commissioner Cathie Armour said ASIC would continue to pursue people who manipulated the price of, or demand for, shares.

“Such failures to comply with financial services laws seek to undermine the integrity of our markets, and ASIC will take action against the individuals involved,” she said.

Cauldron’s executive chairman Tony Sage is also the owner of the Perth Glory soccer club, which last week was banned from this year’s A-League finals series after it was found to have deliberately failed to disclose payments and benefits to at least six players, effectively breaching a salary cap.

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