No Federal Police action on Gay 4

THE AUSTRALIAN Federal Police has declined to go after disgraced former Gunns chairman John Gay by launching a proceeds of crime action.

Gay was convicted of insider trading last year after selling about $3 million worth of Gunns shares in 2009 while privy to price sensitive information.

Justice David Porter fined Gay $50,000 in Launceston’s Supreme Court last August.

The Australian Securities and Investment Commission, which had prosecuted Gay, then referred it to the federal police for a possible proceeds of crime action.

Such action provides a scheme to trace, restrain and confiscate money or property received by breaking Commonwealth laws.

During court proceedings, prosecutors said Gay had benefited by about $800,000 when he made the illegal trade.

Read more here, including Stephen Mayne comment

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