119:(ASIC) commenced civil proceedings against Directors Bane Hunter and Joel Macdonald and alleged that each made multiple misleading statements to the public and that they failed to discharge their duties to the public. ASIC later amended its proceedings to include non executive director and company solicitor Brett Eagle.
106:
On 22 January, GetSwift entered into a voluntary trading halt after its shares dropped 55 percent following the investigation. After issuing the halt, the ASX put 28 questions to the company. In its responses GetSwift denied it had ever failed to adequately update the market. However the ASX found
86:
after shares spiked 83% to $ 3.60 following an announcement by the company about a deal with retail giant Amazon. At the same time, the company also announced a deal with YUM! Foods, the operator of KFC and Pizza Hut in
Australia, which like the Amazon announcement did not include any information on
174:
In deciding to award the largest ever penalty, Justice Lee said âThere is no evidence of contrition or remorse by the two of the companyâs senior officers primarily responsible,â and âIndeed, such evidence as there is points in the opposite direction. That Mr
Macdonald feels a âlevel of peaceâ is
170:
In making his ruling, Justice Lee considered the lack of remorse by those involved and in particular said Mr Hunter was âunrepentant and lacks any insight into his conductâ and âshould not be in charge of the affairs of a companyâ, adding ASIC had been unable to âexplore where all the money raised
49:
In
February 2023 the Federal Court handed down the largest ever penalty for corporate misconduct, with $ 18m in penalties issued to Getswift and its directors Hunter, Macdonald and Eagle and disqualifying each director from managing Australian corporations for 15 years, 12 years and 2 years
45:
In
November 2021 the Federal Court found the directors were knowingly involved in multiple continuous disclosure breaches and made multiple deceptive contraventions and breached their director duties. GetSwift appealed decision before later withdrawing its appeal.
41:
and Brett Eagle made representations in a series of ASX announcements relating to client agreements, between
February 2017 and December 2017 that were misleading and that it failed to notify the ASX of material information in relation to these client agreements.
102:
claimed the company had twice failed to update the market that it had lost significant contracts with
Australian businesses, with many of its announced partnerships failing to proceed beyond pilot stage. At the time, the company had made 18 such announcements.
606:
343:
700:
175:
not only cold comfort to those that have suffered loss, but also reflects a troubling and defiant lack of insight into the scale and seriousness of the wrongdoing set out in excruciating detail in the .â
133:
Justice Lee ruled Bane Hunter was âknowingly involvedâ in 16 of the 22 continuous disclosure breaches, 29 of the misleading and deceptive conduct contraventions and had breached his director's duties.
122:
In June 2020 ASIC presented its case to the
Federal Court. ASIC alleged GetSwift and its directors misled investors in 2017 in a series of announcements that sent its share price up 1900 per cent.
238:
151:
In
February 2023, the Federal Court handed down the largest ever penalty in Australia's history against GetSwift and its directors Joel Macdonald, Bane Hunter and Brett Eagle in a x page ruling.
87:
how the deal would affect the company's financials. The company had announced a partnership with the
Commonwealth Bank of Australia with an estimated aggregate transaction value of $ 9billion.
802:
140:
was âknowingly involvedâ in 20 of the 22 continuous disclosure breaches, 33 of the misleading and deceptive conduct contraventions and had breached his director's duties.
30:(ASIC) against technology company GetSwift Ltd which resulted in the largest ever penalty awarded for corporate misconduct and resulted in reforms to listing rules on the
116:
27:
726:
265:
171:
from investors wentâ. He also found Mr
Macdonald was focused on making money and had âlittle understanding or regard for his legal obligations as a directorâ.
189:"Mr Macdonald has little understanding or regard for his legal obligations as a director, when they get in the way of pursuing a strategy to make money."
480:
792:
182:"GetSwift and those primarily responsible for its wrongful conduct, could be described as representing the unacceptable face of start-up capitalism,"
687:
210:
637:
143:
Justice Lee found Brett Eagle was âknowingly involvedâ in three of the 22 continuous disclosure breaches and had breached his director's duties.
61:
In 2013 Former AFL footballers Joel Macdonald, James Strauss and Rohan Bail launched alcohol delivery service Liquorun. In 2015 after raising
507:
75:
Six months later, the company raised $ 24 million in funding in June 2017 from new and existing investors including US institutions Horney,
762:
53:
The case caused the ASX to tighten its rules now requiring all public directors to "provide evidence of their good fame and character".
399:
662:
556:
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and Regal. In this capital raise Hunter was quoted in saying "Data talks, Bullshit walks" and reported annual revenues of $ 336,356.
318:
186:"Mr Hunter is a man who is presently wholly unsuited to be in a position of responsibility in a public company," Justice Lee said.
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426:
291:
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Managing director and former CEO Joel Macdonald was fined $ 1 million and disqualified from managing corporations for 12 years.
37:
In June 2020 ASIC began proceedings in the Federal Court against GetSwift Ltd alleging GetSwift and its directors Bane Hunter,
607:"19-039MR ASIC commences civil penalty proceedings against GetSwift Limited and its directors Bane Hunter and Joel Macdonald"
198:
155:
Former executive chairman and CEO Bane Hunter was fined $ 2 million and disqualified from managing corporations for 15 years.
69:
31:
161:
Solicitor and non-executive director Brett Eagle was fined $ 75,000 and disqualified from managing corporations for 2 years.
344:"21-298MR ASIC successful in Federal Court against GetSwift and its directors Bane Hunter, Joel Macdonald and Brett Eagle"
750:
581:
215:
90:
Less than a week after having its shares suspended, GetSwift issued 18,750,000 shares at $ 4 each raising $ 75 million.
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99:
23:
807:
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https://download.asic.gov.au/media/tltlok0f/21-298mr-asic-v-getswift-limited-liability-hearing-2021-fca-1384.pdf
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701:"Collapsed tech start-up GetSwift slugged with 'largest ever' penalty of $ 15m for misleading statements"
65:, the company pivoted to providing software to delivery services and rebranded as GetSwift.
62:
137:
38:
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https://www.judgments.fedcourt.gov.au/judgments/Judgments/fca/single/2023/2023fca0100
239:"23-029MR Federal Court sanctions Getswift with record continuous disclosure penalty"
76:
266:"Disclosure obligations: ASX tightens listing rules after GetSwift, Big Un debacles"
83:
481:""Data talks, bullshit walks": How GetSwift raised $ 24 million from US investors"
130:
In November 2021 the Federal Court found in favour of ASIC in a 800 page ruling.
98:
On 19 January 2018, several weeks after the trading halt an investigation by the
532:"Australia's GetSwift shares surge after deals with Amazon.com, Yum Brands"
763:"Getswift slugged with 'largest ever' penalty for misleading statements"
727:"Former AFL player handed $ 1m fine, ban as GetSwift hit with penalties"
508:"Startup GetSwift suspends trading on ASX amid questions over contracts"
638:"GetSwift found guilty of multiple 'PR-driven' disclosure breaches"
453:"How GetSwift got here: A timeline of the tech startup's troubles"
107:
the responses unsatisfactory and the company remained suspended.
292:"ASIC launches civil lawsuit against GetSwift and two directors"
82:
On 1 December 2018, the ASX placed GetSwift into a temporary
400:"GetSwift to pay $ 18m for 'unlawful PR-driven approach'"
178:
In delivering the ruling, Federal Court Justice Lee said:
663:"GetSwift misled investors over profit potential: ASIC"
57:
Background and timeline of events leading to civil case
319:"GetSwift appeals court loss to ASIC, as CEO resigns"
803:Australian Securities and Investments Commission
427:"GetSwift's comeuppance is no deterrent at all"
117:Australian Securities and Investment Commission
28:Australian Securities and Investment Commission
8:
211:ASIC v GetSwift Limited (Liability Hearing)
68:The newly rebranded GetSwift listed on the
16:Decision of the Federal Court of Australia
368:"GetSwift drops appeal over loss to ASIC"
313:
311:
216:ASIC v GetSwift Limited (Penalty Hearing)
582:"Getswift shares placed in trading halt"
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632:
630:
628:
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557:"GetSwift: too fast for its own good"
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474:
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94:Investigation by AFR and trading halt
7:
699:Sharples, Sarah (20 February 2023).
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290:Williamson, Rachel (2019-02-22).
793:Federal Court of Australia cases
111:ASIC launches civil proceedings
479:Castles, Angela (2017-06-25).
199:ACCC v Cabcharge Australia Ltd
70:Australian Securities Exchange
32:Australian Securities Exchange
1:
725:Muroi, Millie (2023-02-17).
667:Australian Financial Review
642:Australian Financial Review
586:Australian Financial Review
561:Australian Financial Review
451:StartupSmart (2018-01-28).
431:Australian Financial Review
372:Australian Financial Review
323:Australian Financial Review
270:Australian Financial Review
100:Australian Financial Review
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24:Federal Court of Australia
22:is a 2023 decision of the
731:The Sydney Morning Herald
72:(ASX) in October 2016.
798:2023 in Australian law
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147:Federal Court judgment
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115:In February 2019 the
20:ASIC v GetSwift Ltd
136:Justice Lee found
767:www.arnnet.com.au
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808:2023 in case law
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63:seed investment
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138:Joel Macdonald
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669:. 2020-06-15
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644:. 2021-11-10
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588:. 2018-01-22
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563:. 2018-01-19
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538:. 2017-12-01
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485:SmartCompany
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433:. 2023-02-20
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374:. 2022-05-18
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705:News.com.au
611:asic.gov.au
348:asic.gov.au
243:asic.gov.au
787:Categories
772:2023-03-07
736:2023-03-07
673:2023-03-07
648:2023-03-07
616:2023-03-07
592:2023-03-07
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378:2023-03-07
353:2023-03-07
329:2023-03-07
301:2023-03-07
276:2023-03-07
248:2023-03-07
222:References
296:Stockhead
193:See also
126:Findings
710:7 March
536:Reuters
34:(ASX).
712:2023
404:MSN
77:IFM
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