The Australian Securities & Investments Commission (ASIC) announced that the Federal Court has continued freezing orders over the assets, including bank accounts, of Gregory Raymond Cotton and First Mutual Private Equity Pty Ltd, following a court hearing. The orders prevent Mr Cotton and the company from transferring money from any frozen bank accounts until further order. The freezing orders were first made on 15 August 2025 following an ASIC application and were extended on 10 September 2025. ASIC has concerns that Mr Cotton and/or First Mutual appear to have raised around AUD 131 million from around 400 investors between January 2020 and August 2025 for investment in ASX-listed shares to generate interest payments, while ASIC’s investigation indicates no investment of the funds appears to have taken place, investor funds were largely spent on gambling (around AUD 80 million, with losses of around AUD 51 million) and payments to investors (around AUD 67 million), and only around AUD 7 million in total assets can presently be identified. The matter will return to the Court on 2 December 2025 for the hearing of ASIC’s application to appoint receivers to the defendants’ property. ASIC’s investigation is ongoing.
Australian Securities & Investments Commission 2025-10-31
Australian Securities & Investments Commission secures continuation of Federal Court freezing orders against Gregory Cotton and First Mutual Private Equity
The Australian Securities & Investments Commission (ASIC) announced that the Federal Court has extended freezing orders on the assets of Gregory Raymond Cotton and First Mutual Private Equity Pty Ltd. ASIC alleges approximately AUD 131 million was raised from 400 investors for ASX-listed shares, but funds were instead spent on gambling and investor payments, with only AUD 7 million in assets identified. The case returns to court on 2 December 2025 for a hearing on ASIC's application to appoint receivers.