media release (21-297MR)

Former Quantum Resources director convicted of insider trading and market manipulation offences


Avrohom Mordechai Kimelman, of St Kilda East, Victoria, has been sentenced to 18-months imprisonment, to be released immediately upon entering into a $5000 recognizance and an undertaking to be of good behaviour for two years, after being convicted of insider trading and market manipulation offences in the County Court of Victoria.

Mr Kimelman is a former director of Quantum Resources Ltd, now known as Nova Minerals Limited.

ASIC Deputy Chair Sarah Court said, ‘Insider trading and market manipulation impact the integrity of Australia’s financial markets. Mr Kimelman sought to manipulate Quantum’s share price and procured the acquisition of almost two million shares while possessing information not available to the market. This is serious misconduct that prevents Australia’s financial markets from operating fairly and transparently.’

On 16 November 2015, Mr Kimelman conspired to manipulate Quantum’s share price.

Mr Kimelman also procured the acquisition of 1,990,963 Quantum shares between 27 April 2016 and 5 May 2016, while possessing inside information concerning Quantum’s intention to acquire Manitoba Minerals Pty Ltd, which had agreed to acquire an interest in a lithium resource in Canada.

In handing down the sentence, Judge Meredith noted the seriousness of market misconduct and its ability to undermine confidence in the integrity of Australia’s financial markets. An important feature of the promotion of confidence is the presence of criminal offences for recognised market misconduct. His Honour further noted that had Mr Kimelman not plead guilty, notionally he would have imposed a sentence of 2 years and 2 months in prison, to be released after serving 12 months on a recognizance and undertaking to be of good behaviour

As a result of his conviction, Mr Kimelman is automatically disqualified from managing corporations for five years from the date of conviction.

The matter was prosecuted by the Commonwealth Director of Public Prosecutions.


Mr Kimelman was first charged on 25 September 2020 (20-223MR). He subsequently pleaded guilty before the County Court of Victoria on 30 June 2021 (21-157MR).

At the time of Mr Kimelman’s offences, conspiracy to commit market manipulation and insider trading each carried a maximum penalty of 10 years imprisonment.

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