ASIC has successfully applied to the Federal Court of Australia for a liquidator to be appointed for ASX-listed boutique investment bank Sino Strategic International.
Michael Basedow of Pitcher Partners has been appointed as the liquidator of ASX-listed Sino Strategic International following an application by ASIC.
The appointment follows an investigation by ASIC after it was concerned the boutique investment bank had been involved in “multiple contraventions” of the Corporations Act and it was not “complying with its obligations” under the legislation.
According to the regulator, the affairs of Sino Strategic have not been “properly managed for some time” and the assets of the company were “at risk”.
Commenting on the action, ASIC commissioner John Price said the regulator is targeting poor corporate culture and poor governance practices in listed companies.
“Failure to report to members and file accounts is unacceptable. ASIC will seek to wind up companies that disregard important legal obligations which exist to protect investors,” he said.
In November 2014, Sino Strategic was convicted and fined $18,000 for failing to hold annual general meetings and lodge financial reports with ASIC.
Sino Strategic is the Australian holding company of a Chinese subsidiary company that operates a licensed gaming business in Shanghai.