Following an ASIC application, the Federal Court in Perth has made asset preservation orders, by consent, against Ms Jane Rosemary Flegg, a Western Australia-based company secretary of ASX-listed company Continental Coal Limited (now in liquidation).  

ASIC obtained these orders in connection with its ongoing investigation into matters including the use of investors' subscription moneys at a time when they were required by law to be held in trust. ASIC sought orders pending the outcome of its investigation, with the aim of preserving the interests of investors.  

Ms Flegg consented to the orders on the basis that her rights are reserved and with no admission of liability or wrongdoing.

Background

In May 2016, the Federal Court appointed a liquidator to Continental Coal following an application by ASIC (refer: 16-166MR).

ASIC had earlier successfully applied to the Federal Court  for the appointment of a provisional liquidator to Continental Coal (refer: 16-123MR) and taken action to restrict the company from issuing a reduced content prospectus until 26 February 2017 (refer: 16-061MR).

A Western Australia-based director of Continental Coal, Mr Peter Neil Landau, has consented to interim asset preservation orders over his personal assets, and the assets of Okap Ventures Pty Ltd and Doull Holdings Pty Ltd (of which companies Mr Landau is sole director), following an application by ASIC to the Federal Court (refer: 15-410MR). Mr Landau consented to the orders on the basis that the Defendants' rights are reserved and that they do not accept the orders should have been made.

Editor's note 1:

ASIC wishes to notify the public that the Asset Preservation Orders against Ms Flegg may be discharged. Further information is available here.