On 5 April 2022, DoJ, SEC issued charges re $14 billion tender offer fraud. DoJ charged Melville ten Cate with tender offer fraud, securities fraud, and wire fraud in connection with several schemes on behalf of his company, Xcalibur Aerospace Ltd. Schemes include fraud tender offer worth over $14bn, arising from ten Cate's allegedly sham…
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Australia – Gvt Foreign Investment Reforms
On 4 April 2022, AST GVT released its response to the final report of the Senate's inquiry into foreign investment proposals which was published in August 2021. Response highlights that 2021 foreign investment reform package gave a legislative basis for GVT to accept/enforce undertakings made by investors to address concerns. Package also allowed increased number…
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Sweden – FI Fines Voleon Capital for Late Short Selling Disclosure
On 30 March 2022, SWE FI ordered capital manager firm to pay SEK 100,000. SWE FI imposed a special fee of SEK 100k on Voleon Capital Management LP after late short selling took place in Oasmia Pharmaceutical AB and Catena Media plc shares. Voleon failed to correctly notify SWE FI that the firm's short net…
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E.U. – ESMA Issues Final Report on Short Selling Regulations
On 4 April 2022, ESMA issued its final report on short selling regulation which follows which follows its previous consultation from 24 September 2021. Summary ESMA takes stock of experience gained during the Covid-19 outbreak and relates to emergency measures adopted by the relevant competent authorities (RCAs). Also ESMA’s temporary lowering of the notification thresholds…
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Netherlands – AFM Fines $275K for Failure to Report Short Selling
On 30 March 2022, NLD AFM issued €250k fine for short selling reporting failure. NLD AFM fined Merian Global Investors (UK) Ltd for not reporting short selling. Violations Fine imposed because of failure to comply with regulations on reporting net short positions from 8 October 2014 to 19 January 2018, in violation of short selling…
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Australia – Gov’t Foreign Acquisitions and Takeovers
On 31 March 2022, AST GVT registered foreign acquisitions and takeovers amendment regulations 2022; these regulations commence on the day after they were registered. The regulations reduce regulatory burden for foreign investors that engage in moneylending, invest in unlisted land entities or Australian media businesses. As well as those that acquire shares or units under…
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