Greater Sydney-based former investment manager Rodney Forrest has been charged with trading and procuring others to trade Platinum Asset Management (Platinum) shares while in possession of inside information relating to a takeover offer and separately providing unlicensed financial advice.
Mr Forrest pleaded guilty to two counts of insider trading between August and September 2024 before Sydney's Local Court today.
ASIC alleges he acquired around $2.6 million of Platinum shares while in possession of inside information, and that he procured others to also acquire Platinum shares.
ASIC also alleges Mr Forrest operated a financial services business without an Australian Financial Services (AFS) licence between 4 January and 8 October 2024.
The matter has been listed for mention in the Federal Court on 5 September 2025.
This case marks the first outcome for ASIC's new criminal investigation taskforce formed late last year to boost resources and expertise for investigating insider trading cases.
This is also one of the first matters to be referred to the Federal Court under its expanded criminal jurisdiction.
Strengthening the investigation and prosecution of insider trading is one of ASIC's 2025 enforcement priorities.
ASIC's Market Surveillance team detected Mr Forrest's insider trading activity via ASIC's trading surveillance technology, which tracks suspicious trading activity in real time.
The matter is being prosecuted by the Office of the Director of Public Prosecutions (Cth).
Background
Mr Forrest is charged with two offences contrary to s1043A(1) of the Corporations Act 2001 (the Corporations Act) and one offence contrary to s911A of the Corporations Act. The offences are rolled-up as they relate to multiple instances of offending.
The s911A offence (providing unlicensed financial advice) is to be taken into account when Mr Forrest is sentenced for the insider trading offences, pursuant to s16BA Crimes Act 1914 (Cth).
An offence against s1043A of the Corporations Act carries a maximum penalty of 15 years' imprisonment or the greater of $1,485,000 or three times the benefit derived (for individuals).
The Corporations Act imposes significant penalties for carrying on a financial services business without an AFS licence - it is a criminal offence under sections 911A and 1311(1). For individuals, the penalty is a maximum of five years imprisonment and/or a fine of up to 600 penalty units. For corporations, the fine is up to 6,000 penalty units.
