A commercial construction and property development company has paid a penalty of $33,000 for failing to comply with continuous disclosure obligations.
ASIC issued an infringement notice to Diploma Group Limited (DGX) following an investigation into an ASX announcement made by the company.
The company entered into a contract for the sale of a Perth property in December 2012, but waited until 31 July 2013 to announce the settlement.
ASIC Commissioner John Price said that by failing to inform the ASX of its entry into the contract for the sale of the property subject to the two conditions, DGX was in breach of section 674(2) of the Corporations Act.
“‘Continuous disclosure is a cornerstone of market integrity. It is essential for maintaining fair and efficient markets and is critical for investors looking to make confident and informed decisions,” said Price.
“We set a high standard in this space for good reason and on this occasion DGX has failed to meet that standard.”