The Australian Securities and Investments Commission (ASIC) has permanently banned [Deleted text. This paragraph has been edited in accordance with the spent convictions scheme in Part VIIC of the Crimes Act 1914 (Cth).] James Bernard McDonnell and Ian Thomas Campbell Westcott, former directors of Lateral Trading Limited (Lateral), from acting as representatives of a securities dealer or an investment adviser.

[Deleted text. This paragraph has been deleted in accordance with the spent convictions scheme in Part VIIC of the Crimes Act 1914 (Cth).]

The [Deleted text. This paragraph has been edited in accordance with the spent convictions scheme in Part VIIC of the Crimes Act 1914 (Cth).] men were all jailed in July 2001 after pleading guilty to a range of charges including the misuse of their positions as directors in relation to the misuse of $1.46 million from Lateral.[Deleted text. This paragraph has been edited in accordance with the spent convictions scheme in Part VIIC of the Crimes Act 1914 (Cth).] Mr McDonnell to five years jail to serve three years and Mr Westcott to three years jail to serve two years.

Under the Corporations Act, ASIC can ban anyone convicted of serious fraud from the securities industry.

Lateral was an unlisted public company whose principal activity was to trade in futures contracts and options over futures. The company was placed into liquidation in December 1997 with the consent of the directors, following a winding-up application by ASIC.

At the time it went into liquidation, Lateral had raised approximately $18 million from around 700 investors in Melbourne, Adelaide, Sydney and Brisbane.

Investors can check to see if their financial adviser has been licensed or banned by ASIC, by visiting the consumer website at www.fido.asic.gov.au.