Sharechat Logo

Mark Warminger drops appeal of market manipulation judgment

Monday 31st July 2017

Text too small?

Former Milford Asset Management portfolio manager Mark Warminger has withdrawn his appeal against a High Court judgment in the country's first case of market manipulation, and the Financial Markets Authority won't pursue a cross-appeal. 

"The judgment from March 2017 and penalty decision from June 2017 stand and this brings these civil proceedings to a close," the FMA said in a statement. 

In March, Chief High Court Judge Geoffrey Venning found Warminger manipulated the market in two trades while rejecting eight other instances brought before the court by the FMA. The hearing was a civil case, meaning the judge had to decide on the balance of probabilities. Warminger was then ordered to pay $400,000. 

As a result of the pecuniary penalty order, Warminger automatically received a five-year management ban. Had Warminger been prosecuted, the criminal penalty for his actions would have been a maximum fine of $300,000, or five years imprisonment for each contravention. 

"This result demonstrates there are serious consequences for this type of misconduct. Market participants and the public want to know that the law is being upheld, and where there are instances of market manipulation and misconduct, those responsible will be held to account. We are satisfied that our regulatory objectives have been achieved in taking these proceedings," said Rob Everett, FMA chief executive.

Warminger’s employer at the time, Milford Asset Management, settled with the FMA before the trial. It paid $1.1 million in lieu of a pecuniary penalty, along with $400,000 in costs.

(BusinessDesk)

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

NZ dollar withstands poor manufacturing data
Bublitz to serve home detention following appeal
Former G8 boss takes over management of Evolve
Precinct boosts earnings, withholds $34m from Fletcher
Sky TV shares rise on US$40m RugbyPass acquisition
Precinct boosts earnings, withholds $34m from Fletcher
Sky TV shares rise on US$40m RugbyPass acquisition
NZ manufacturing activity shrinks for first time in seven years
Orr defends RBNZ rate cut, says monetary policy looks ahead, not behind
Michael Hill underlying earnings fall 14% as margins squeezed

IRG See IRG research reports