Caloundra Man Pleads Guilty to Insider Trading, Says ASIC

Mr Jin Xi Li, of Caloundra, Queensland, has pleaded guilty to two insider trading offences when trading in Contracts for Difference (CFD) of PanAust Limited (ASX: PNA).

Appearing before the District Court at Brisbane, Mr Li was arraigned and pleaded guilty to one count of trading while in possession of inside information and one count of procuring his wife to trade while in possession of inside information.

Mr Li pleaded guilty to trading in CFDs of PanAust while he was in possession of inside information relating to a takeover bid for PanAust by Guangdong Rising H.K (Holding) Limited.

Prior to the announcement made by PanAust on 30 March 2015 regarding the takeover bid, Mr Li:

• acquired 390,000 PanAust CFDs between 19 March 2015 and 26 March 2015; and

• ​procured his wife to acquire 265,000 PanAust CFDs between 22 March 2015 and 26 March 2015.

The total profits resulting from both Mr Li and his wife's trading was approximately $343,000.