246:(NPP) or providing them in a non-machine readable form (to make it difficult for Tweed to easily create offer letters); a court case in 2003 required that all offers that Tweed advanced would need to attach the last known market price of the shares in question. In September 2010, Tweed put out a press release stating, 'that after suing Challenger Financial Services, Challenger settled by refunding $ 10k of his legal costs and also provided Tweed with a new register for their frozen mortgage fund'. In September 2010, Tweed began an action against
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Roger
Montgomery a Clime director. By 30 June 2009 Montgomery had quit Clime after having sold his 25-year management contract for over $ 3m. At one point Tweed offered to be bought out of Clime at their net tangible asset value (NTA), which Clime refused to do. However, this attempt was halted by ASIC in August 2006, who raised "serious objections to the way the bid was structured" by Australian Share Purchasing Company Pty Ltd (ASPC). ASPC withdrew from the takeover soon after. Clime has consistently traded below NTA since.
202:(ASX). For instance, when AMP was trading at around $ 17, Tweed offered $ 13 for the shares which subsequently fell to $ 5. Tweed's offers would often be in the form of a cover letter with large font detailing his offer and with an enclosed off-market transfer form that was pre-filled with the details of the target shareholder. A large number of shareholders, often elderly people who had never owned shares before, would take up the offer despite the market price clearly available in newspapers such as the
272:. The television programme revealed that he had established a company in New Zealand called "COLONIAL CAPITAL CORPORATION". Attempts to contact the company by reporters of that programme were thwarted by an absence of contact details. A search of the NZ company's office reveals that the address for service of the company is given as the office of 'Andrew James Kennedy'. Mr Kennedy is a commercial and taxation lawyer. The address of his law firm, Prudentia law, corresponds with that of the company.
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identified, Tweed has amended his practices to stay one step ahead of the law, thus frustrating those that would like to shut him down. Tweed has mercilessly sued to enforce performance of agreements signed, often for minor amounts of less than $ 1000. These cases are usually settled in his favour and also enable the former shareholders to avoid the legal costs of mounting a defence.
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In each instance, rather than retiring his scheme, Tweed has fought back. The share registers are a matter of public record, and Tweed brought action against companies that attempted to close their registers. On 13 December 2010, legislation was implemented that stopped share predators from obtaining
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to have charged a figure he believes was too high. Upon appeal, the Full
Federal Court unanimously found Tweed's DSPC had been charged $ 17,000 by Axa for Axa's share register when a "generous" fee was $ 250. In a letter dated 11 November 2007, Tweed's company, Colonial Capital Corporation, offered
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In
December 2005 he made an offer (through his companies NSPC, DSPC and ASPC) to purchase IAG shares. NSPC offered shareholders $ 8.10 per share, paid out over 18 annual instalments of 45 cents per share. This meant that shareholders would have received the final payment in 2023. DSPC made an offer
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The
Commonwealth Bank was accused of doing this. On their website they wrote "National Exchange has alleged that the was provided in an unsuitable format. The Bank believes that it has complied with the requirements of the law in providing its share register data, and will be vigorously defending
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Through his company
National Exchange, Tweed attempted to gain control of Clime Asset Management in 2005 through 2006, as well as calling extraordinary general meetings (at Clime's cost) to have the board of directors of the company removed. The board stated that investors bought into Clime due to
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calculated that this valued the shares at just 78 cents in today's dollars. In his ruling, Justice Robert
Osborne stated that the National Exchange acceptance form was so worded that before it could enforce a binding contract on people tempted by low-ball purchase offers, they had to send in the
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In general, no law has been broken by Tweed in advancing his offers. Several shareholders who had accepted Tweed's offers annulled the contract due to technicalities in the off-market transfer process; however, the great proportion were relieved of their shares. Whenever a technicality has been
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to Tweed after he was promoted to the trading room. It transpired that Tweed had assumed the same name as a former business journalist and later sharemarket analyst who had an extended working stay in Europe. His original house doubled as his office and was in Roden Street,
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Tweed set up four companies: National
Exchange Pty Ltd, National Share Purchasing Corporation Pty Ltd (NSPC), Direct Share Purchasing Corporation Pty Ltd (DSPC) and Australian Share Purchasing Corporation (ASPC). By obtaining contact details through the
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alleging that they unfairly sold his company, Direct Share
Purchasing Corp (DSPC), the share register for an inflated figure of $ 44,000. Tweed believed that he should have been sold the register from between $ 231 and $ 750 and that it was against the
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In 2006, Tweed changed tack slightly and offered investors $ 13 per share, while the price was $ 8.91. However, he offered to pay them the $ 13 in 20 annual instalments of 65 cents per instalment. This allowed Tweed to take advantage of the
94:"If people have got shares and they have no idea what to do with them, then maybe they are better off without them. Let people who can look after them look after them. I know that sounds very callous but . . . he's not breaking any laws."
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is an
Australian businessman who conducts a business of offering to buy securities at either below market value, or at a price that is above market value but via installments. Paying in installments can disadvantage the seller due to the
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shareholder registration number as well as the signed form before the deadline set out in the offer. The court action was undertaken by David Tweed against David Vane, a caretaker whom he took to the court to claim $ 977.
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with a degree in accounting. Tweed's first and only job was as a runner then floor trader and then adviser for brokerage firm, McKinley Wilson, and according to Peter MacLaren (Dec'd), his former boss, he changed his
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with 77-year-old
Annelott Gerandt. Tweed tried to buy units in the Colonial First State Mortgage Income Fund for half their face value from Gerandt, who thought that the paperwork she received was from Colonial.
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was justified in double-checking with shareholders before processing transfers, part of its fiduciary duties as the responsible entity. White also found that Perpetual was justified in not processing forms.
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investors offering them $ 13 per share, while the price was $ 8.91. In a similar way to previous offers, Tweed offered to pay them the $ 13 in 20 annual instalments of 65 cents per instalment.
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also alleges that "Mr Tweed has been ostracised by his family, who have begged him to stop his unscrupulous behaviour" but is defended by Ms Newman's father Dennis, who has said that,
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was deceptive. He had offered to purchase them for $ 2 a share over a 15-year period through his company National Exchange Propriety Limited. At the time the accounting group
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reports that Tweed once stated that "I didn't do morals at school." He has also been described as an "..indefatigable bottom feeder" by Ian Porter and Nabila Ahmed of
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of target companies, he has made several offers to purchase shares in those companies. The offers are often far below the market prices that could be realised on the
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for $ 3.00 per share and another for $ 3.50 per share. According to IAG this was less than the lowest price at which IAG's shares have traded in the past year.
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Tweed has been accused of unethical behaviour and of taking advantage of unsophisticated shareholders. Gossip columnists Suzanne Carbone and Lawrence Money of
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When required to advertise the market prices of the shares, Tweed began advancing offers to buy the shares 'in installments' so that people ignorant of the
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Tweed has brought his share purchase activities to New Zealand. On 13 March 2007, Tweed featured on a New Zealand consumer protection programme -
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for breaking the law by not providing its share register. Wesfarmers gave up at the door of the court and agreed to pay Tweed his full costs.
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relationship with Donna Newman for 22 years before they married on 23 June 2018, in Las Vegas; they also have three children together. The
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27:. Tweed's business practices are controversial in some quarters and his success has attracted criticism from the media and the
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In Australia, there is a high proportion of share ownership by less sophisticated investors. This is a by-product of the
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To foil his schemes, several measures have been attempted. Companies have tried to close their share registers, citing
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shares at a price of $ 42.47. Similar to the nature previous offers, payment was to be in 18 instalments of $ 2.36.
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http://www.smh.com.au/business/daughter-fights-cheap-attempt-to-buy-elderly-mothers-investment-20110712-1hcce.html
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Born as David Tschernitz, Tweed is the son of Austrian migrants. He was born and raised in the inner
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and other corporate actions in the last 20 years in Australia. Companies such as
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would not be able to easily evaluate whether to keep or sell their shares.
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based LM Investments is fighting Tweed on the same basis as Wesfarmers.
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In 2012, Tweed settled a dispute over $ 35,000 on the steps of the
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called him a "ight-fisted share-scammer", David Elias, also of
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found that Tweed's offer to purchase shares from investors in
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ASIC stops flawed takeover by David Tweed for Clime Capital
147:‡ Colonial Capital Corporation Limited (in New Zealand)
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People educated at Penleigh and Essendon Grammar School
127:‡ National Share Purchasing Corporation Pty Ltd (NSPC)
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introduced legislation to regulate Tweed's activities.
137:‡ Australian Share Purchasing Company Pty Ltd (ASPC)
132:‡ Direct Share Purchasing Corporation Pty Ltd (DSPC)
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Federal Court deals blow to share trader David Tweed
309:, while disadvantaging investors. He also wrote to
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29:Australian Securities & Investments Commission
544:Transcript of Inside Business - 27 November 2005
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227:, called him "a man with no conscience". The
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526:IAG Shareholder Warning about DSPC and NSPC
157:‡ Hassle Free Share Sales Pty Ltd (HFSS)
433:"Tweed finds profit preying on old folk"
620:"Tweed beaten - a win for the grannies"
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122:‡ Australian and New Zealand Exchange
69:, however he has since moved into the
701:Australian people of Austrian descent
582:"Government still won't act on Tweed"
509:"Accidental hero defeats David Tweed"
490:Michael Rowland (10 September 2003),
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397:Suzanne Carbone and Lawrence Money,
335:In March 2011, Justice White of the
112:‡ Country Estate and Agency Company
53:Penleigh and Essendon Grammar School
469:"Legal action by National Exchange"
71:Melbourne central business district
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162:‡ Stokes (Australasia) Ltd (SKS)
637:"David Tweed bows out of Battle"
450:"Offer to suit half-price Tweed"
431:David Elias (30 December 2004),
337:Supreme Court of New South Wales
117:‡ National Exchange Corporation
716:People from Footscray, Victoria
618:Michael Pascoe (9 March 2011),
601:"Tweed alleges AMP overcharged"
507:David Ellis (24 October 2003),
417:"Tweed feeds on the vulnerable"
385:Craig Brinnie (25 July 2006),
258:share registers in Australia.
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106:Companies owned by David Tweed
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580:Craig Binnie (27 July 2006),
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142:‡ Prudential Nominees
16:Australian businessman
706:Confidence tricksters
674:Sydney Morning Herald
662:Sydney Morning Herald
641:Sydney Morning Herald
624:Sydney Morning Herald
514:Sydney Morning Herald
438:Sydney Morning Herald
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51:. He was educated at
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657:"Not the full quid"
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263:time value of money
99:Investment strategy
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356:References
252:Queensland
248:Wesfarmers
178:(IAG) and
79:Herald Sun
47:suburb of
341:Perpetual
186:, Tower,
49:Footscray
45:Melbourne
558:Archived
529:Archived
472:Archived
286:OneSteel
84:de facto
455:The Age
421:The Age
404:The Age
373:The Age
328:to buy
233:The Age
225:The Age
220:The Age
62:surname
270:TARGET
31:. The
290:KPMG
208:and
188:IOOF
57:RMIT
639:, "
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311:AMP
184:Axa
180:AMP
88:Sun
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