Between 1 January 2023 and 30 June 2023, ASIC prosecuted 36 companies and secured over $700,000 in penalties for failing to lodge financial reports, hold annual general meetings (AGMs) and to maintain the required number of directors and resident directors.
Three of ASIC’s prosecutions resulted in fines of more than $100,000.
Asset management firm ALT Financial Group Ltd was fined $123,000 for failing to lodge annual reports and hold AGMs between 2018 and 2021, and for failing to maintain the minimum number of company directors.
TV2U International Ltd, a corporate telecommunications company, was fined $110,000 for failing to lodge annual financial reports for the 2021 and 2022 financial years, half-year financial reports for 31 December 2020 and 2021, failing to report to members and hold an AGM in 2021, failing to have a company secretary and failing to maintain the required number of directors and resident directors.
Resources exploration business RMG Ltd was convicted and fined $105,000 for failing to lodge three annual financial reports between 2020 and 2022, a half-year financial report for 31 December 2020, failing to have a company secretary and failing to maintain the required number of directors and resident directors
ASIC also secured significant penalties against Adgex Ltd, which was fined $83,000 for failing to lodge reports or hold AGMs from 2019 to 2021 and maintain the required number of directors and resident directors, and ABM Group, which received a total of $69,000 in fines handed to 11 of its companies.
In the case against Western Australian Coal Terminal Pty Ltd, ASIC charges that the company failed to lodge annual financial reports from 2017—2021 and failed to have at least one resident director were dismissed.
Financial reports provide shareholders, creditors and the public with important information, enabling them to make informed decisions when dealing with these companies. It is crucial that disclosing entities lodge their financial reports in a timely manner.
A full list of companies and penalties is provided in the background of this media release.
The companies were prosecuted summarily in Local and Magistrates’ Courts by ASIC.