The Australian Securities & Investments Commission (ASIC) has commenced civil penalty proceedings in the Federal Court against Wiluna Mining Corporation, its former chair Milan Jerkovic and former chief commercial officer James Malone, alleging breaches of continuous disclosure obligations and directors’ duties tied to an inaccurate ASX announcement about funds raised in a rights issue. ASIC alleges Wiluna announced on 17 June 2022 that it had raised AUD 57.3 million, despite AUD 7 million of that amount never being received, and that the market was not informed of the shortfall before the company entered voluntary administration on 21 July 2022. The case seeks declarations of contravention against Wiluna and declarations of contravention and pecuniary penalties against Mr Jerkovic and Mr Malone, including allegations that Mr Malone failed to take reasonable steps to ensure ASX statements were not false or misleading. Wiluna was de-listed by the ASX on 5 April 2024 after failing to lodge its half-year report for the six-month period ended 31 December 2022.
Australian Securities & Investments Commission 2025-04-14
Australian Securities & Investments Commission brings civil penalty proceedings against Wiluna Mining over alleged AUD 7 million shortfall in disclosed rights issue proceeds
ASIC has initiated civil penalty proceedings against Wiluna Mining, former chair Milan Jerkovic, and former chief commercial officer James Malone for alleged breaches of disclosure obligations and directors’ duties. Wiluna inaccurately announced raising AUD 57.3 million, with AUD 7 million never received, and failed to disclose this before entering administration. The proceedings seek declarations and penalties, especially against Malone. Wiluna was de-listed on 5 April 2024.