Posts tagged DR. RICHARD SENNA

LUKAS KAMAY + CHRISTOPHER HILL INSIDER TRADING CONSPIRACY WAS UNCOVERED BY THEIR LINKEDIN + FACEBOOK PROFILES

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INSIDER TRADING

LEFT –  LUKAS KAMAY

RIGHT – CHRISTOPHER HILL

 

http://www.smh.com.au/business/alleged-insider-trading-case-cracked-through-linkedin-20140511-zr9mw.html

 

Foreign exchange broker Owen Kerr turned to social media website LinkedIn to make the vital connection between the two men accused of one of the country’s biggest insider trading cases.

It was late on a Tuesday in September last year when one of his young client service team handed him the daily transaction report and said: ”Boss, you better take a look at this.”

Mr Kerr’s team had noticed one of their clients, National Australia Bank associate director Lukas Kamay, was making sizable bets on the Australian dollar, minutes and sometimes seconds before the announcement of significant economic news. Mr Kerr, the founder and owner of Pepperstone Financial, looked up Kamay’s profile via his gold LinkedIn account and found he was friends with an Australia Bureau of Statistics employee Christopher Hill through Monash University. “That was when it suddenly clicked that this guy was only trading ABS data and had a man on the inside,” Kerr told Fairfax Media from his Gippsland farm on Sunday.

insider trading 2

Foreign exchange broker Owen Kerr. Photo: Jesse Marlow

The tipoff sparked a nine-month surveillance operation code named Operation LEITH that culminated in police executing eight warrants in Canberra and Melbourne on Friday in relation to the $7 million trading scandal.

The Australian Federal Police and the Australian Securities & Investments Commission have frozen the men’s assets, which include Kamay’s purchase of a $2.4 million three-bedroom loft apartment in the inner-Melbourne suburb of Albert Park that was designed by twins Alisa and Lysandra Fraser as part of the reality television show The Block. Court documents reveal that the AFP also used covert internet inquiries through Facebook to reveal that the two men were “friends”.

TO LEARN MORE ABOUT THEIR INSIDER TRADING CONSPIRACY, CLICK ON THEIR NAMES UNDER “CATEGORIES”.

BELOW IS THE LUKAS KAMAY LINKEDIN PROFILE

https://www.linkedin.com/pub/lukas-kamay/87/2a7/8b3


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LUKAS KAMAY + CHRISTOPHER HILL HAVE BAIL REVOKED, NOW WAIT IN PRISON FOR SENTENCING

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INSIDER TRADING

LEFT –  LUKAS KAMAY

RIGHT – CHRISTOPHER HILL

 

http://www.hopgoodganim.com.au/page/Publications/HG_Corporate_Alert_Christmas_in_jail_for_perpetrators_of_Australia_s_worst_case_of_insider_trading_-_18_December_2014/?utm_source=Mondaq&utm_medium=syndication&utm_campaign=View-Original

 

Lukas Kamay, 26, (former NAB banker), and Christopher Hill, 25, (former Australian Bureau of Statistics (ABS) employee) will spend Christmas in jail after they pleaded guilty to insider trading last week and had their bail revoked before sentencing in February.

In this Alert, Partner Michael Hansel and Associate Katherine Hammond discuss the recent NAB / ABS insider trading scam that has been described by Prosecutor, Mr Robert Bromwich SC, as “the worst instance of insider trading to come before the courts in Australia”, with a focus on the potential penalties for insider trading.

Key points

  • Kamay and Hill made an estimated $7 million in profits by using unreleased ABS data to make foreign exchange trades.
  • The potential penalties for insider trading are severe and often a prison sentence is imposed.
  • Authorities have a number of tools to catch insider traders.

Insider trading

The insider trading laws mean, in broad terms, that if a person has inside information they must not:

  • trade certain financial products (such as shares) using inside information;
  • procure another person to trade with inside information; or
  • communicate inside information for the purpose of another person trading with that information.

“Inside information” is essentially information which is not generally available and which, if it was generally available, a reasonable person would expect to have a material effect on the price or value of prescribed financial products.

The ABS Insider Trading case

It is alleged that Kamay used confidential and price sensitive ABS economic data provided by his university friend, Hill, to trade in foreign exchange derivative contracts and is alleged to have made profits of over $7 million.

It is alleged that on a number of occasions Hill provided confidential data on jobs, retail sales, building approvals, capital expenditure and housing finance.  The release of this type of data will often affect the value of the Australian dollar and it is alleged that Kamay would use the data to buy foreign exchange derivative contracts in the minutes before the regular 11.30am release of the ABS data, and then sell the contracts shortly after.

The scam was uncovered by a broker who noticed that his client (Kamay) was making significant bets on the Australian dollar shortly before the announcement of important economic news.  He discovered on LinkedIn that Kamay was friends with an ABS employee (Hill) and notified the Australian Federal Police which sparked a nine month surveillance operation where Hill and Kamay were monitored in their offices using surveillance cameras and phone taps.

The charges

Kamay has pleaded guilty to seven charges including insider trading, identity theft and money laundering charges.  Hill has pleaded guilty to six offences including insider trading, identity theft and breach of public office.

Insider trading carries a maximum 10 year prison sentence.   Money laundering carries a maximum of 20 years and breach of public office carries a maximum of five years in jail

Prosecutor, Mr Robert Bromwich SC, has described Kamay’s offences  as “calculated” and “bereft of any redeeming features”, and said Hill’s breaches of public office were in the worst category.  He has called for significant jail time for both men to be punished and to deter others from committing these types of crimes.

Insider trading penalties

The potential penalties for insider trading are severe and a jail term is generally imposed.  This is because insider trading is a form of fraud which damages market integrity and the public’s trust in the market, which is critical to its viability.

Insider trading is both a criminal and a civil offence under the Corporations Act 2001 (Cth).

For the criminal offence, where insider trading would need to be proven beyond a reasonable doubt, the penalties were doubled in 2010.  For an individual the maximum is now imprisonment for up to 10 years and/ or a fine of $765,000 or three times the benefit gained (whichever is greater).

For the civil offence, where insider trading only needs to be proven on the balance of probabilities, the maximum penalty for an individual is $200,000.

In March 2014 ASIC released a report, “Report 387: Penalties for corporate wrongdoing” calling for tougher civil penalties in Australia which are out of sync with many international counterparts.

Catching the offenders

Since 2009 ASIC has prosecuted 34 insider trading matters. Of those matters, 23 have been successful with four still before the courts.  Apart from relying on tip-offs there are a number of ways that insider’s might be caught:

  • Suspicious activity reporting obligations

Since November 2012[1] a market participant (such as a broker) must notify ASIC if it has reasonable grounds to suspect that a person has placed an order or entered into a transaction while in possession of inside information.  There is a $20,000 penalty for failing to comply.

  • ASIC’s monitoring of insider trading

ASIC has a real-time market surveillance system, known as Market Analysis Intelligence (MAI) which went live in late 2013 and enables ASIC to detect, investigate and prosecute trading breaches.

The MAI provides sophisticated data to identify suspicious trading in real time and across markets.  The MAI is built around algorithmic trading technology and allows ASIC to analyse trade data for patterns and relationships.

  • Queries from ASIC during deals

After a transaction is announced ASIC will look back over the share price movements around the time of the transaction and see if there are any unexplained fluctuations.  There are invariably fluctuations and advisors are frequently asked to (voluntarily) provide details about who knew about the deal and when, and if the advisors are aware of any information which has not been disclosed.

For more information on Corporate Advisory and Governance matters, please contact HopgoodGanim’s Corporate Advisory and Governance team.

NEW ESTIMATE PLACES ISIS ANNUAL INCOME NEAR $3B, TOTAL ASSETS OVER $2T

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Wake_UP

 

http://moneyjihad.wordpress.com/

 

Shattering previous estimates, Thomson Reuters Accelus says that ISIS’s annual income is $2.9 billion annually with total assets surpassing $2 trillion.

Most of the income comes from the energy sector, with 55 percent income coming from oil and natural gas. The remainder comes from extortion/Islamic taxation (12 percent); control of the Iraqi agricultural sector (primarily wheat and barley at 7 percent), the cement industry (10 percent), and phosphate mining (10 percent); kidnap-for-ransom schemes (4 percent); and donations (2 percent).

Hat tip to Gisele for sending in an infographic from their findings, which include the income breakdown:

Where Islamic State gets its money

LT. COLONEL SONGRAK KHUNSRI WANTED BY THAILAND AS ACCOMPLICE IN PONGPAT CHAYAPHAN MONEY LAUNDERING + CORRUPTION INVESTIGATION

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FUGITIVE

THAILAND

TOP – Lt-Colonel Songrak Khunsri

BOTTOM – Songphol Thongsin, a chauffeur

THAILAND 2

http://www.nationmultimedia.com/national/Warrants-for-top-cop-driver-in-debt-collecting-rac-30249918.html

 

TWO ARREST warrants have been issued for a senior policeman and a civilian who were allegedly part of a debt-collecting racket that authorities say was run by former crime-buster Lt-General Pongpat Chayaphan.

Lt-Colonel Songrak Khunsri, who has been charged with criminal conspiracy and money-laundering, is also on the verge of being discharged from police after he nears a 15-day absence without permission, acting Crime Suppression Division (CSD) commander Pol Colonel Akkharadej Phimolsri said.The other suspect was identified as Songphol Thongsin, a chauffeur of Pol Maj-General Kowit Wongrungroj, a deputy chief under Pongpat at the Central Investiga-tion Bureau.Songphol has also been charged with money-laundering.

Songrak, a deputy chief of the CSD’s Subdivision 6, was a close aide of Pongpat and known for his good record in solving high-profile crimes, including the arrest of weapons trader Victor Bout.

Meanwhile, the Finance Minis-try issued a statement yesterday about a sum of money being granted to Thanphuying Srisasm Suwadi.

The request was made by His Royal Highness Crown Prince Maha Vajiralongkorn to the Crown Property Bureau, which later complied with it, the statement said.

Finance Minister Sommai Phasi, as chairman of the Bureau’s board of directors, asked in the statement for cooperation from the media not to publicise copies of government matters deemed inappropriate for publication in regard to the matter.

WIRAPOL SUKPHOL (aka: Luang Pu Nen Kham) FUGITIVE FROM THAILAND MONEY LAUNDERING, FRAUD + STATUTORY RAPE CHARGES REPORTED HIDING IN USA

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FUGITIVE
WIRAPOL SUKPHOL
 WIRAPOL SUKPHOL 2

WIRAPOL SUKPHOL

http://www.bangkokpost.com/news/general/451162/dsi-pursues-fugitive-monk

 

The Department of Special Investigation (DSI) is seeking support from foreign authorities to arrest fugitive former monk Luang Pu Nen Kham.  The renegade monk, who goes by the layman name Wirapol Sukphol, is believed to be hiding in the US to escape a range of charges including fraud and statutory rape.

Pol Lt Col Phong-in Intrakhao, the commander of the DSI’s National Security Bureau, said officers are working with authorities in several countries to locate and capture Mr Wirapol, and would seek his extradition to stand trial in Thailand as quickly as possible.

Mr Wirapol, 35, was defrocked in absentia after allegations of his criminal behaviour and high-flying lifestyle were revealed last year. National Buddhism Office spokesman Somchai Surachatree said the fugitive no longer had any right to call himself a monk.

But a photo of Mr Wirapol wearing a yellow-saffron robe, sitting on a table surrounded by followers, was released online last month. A statement on Mr Wirapol’s website said he was currently living in the US, despite his Thai passport being revoked.

Mr Wirapol fled Thailand last year and was also reported to have taken refuge in France before moving to the US.

He gained widespread media attention following the release of video footage which showed him travelling on a luxury private jet while still a monk. He also carried a Louis Vuitton bag, wore brand-name sunglasses and owned more than 100 luxury cars and a large number of land holdings.

Police are preparing to charge him with child abduction, statutory rape, fraud, money laundering and breaching the Computer Crimes Act.