MELBOURNE, Australia, June 18, 2014 /CNW/ - Newcrest Mining Limited
(ASX: NCM) - Newcrest has reached a settlement with the Australian
Securities and Investments Commission (ASIC) following the conclusion
of ASIC's investigation into Newcrest's conduct leading up to its ASX
announcement of 7 June 2013.1
ASIC this morning applied to the Federal Court seeking a declaration of
two contraventions of the continuous disclosure provisions of the
Corporations Act and aggregate civil penalties of $1.2 million. Under
the settlement, Newcrest will agree to the two civil contraventions and
the proposed penalties.
The contraventions arose from a loss of confidentiality in relation to
Newcrest management's expectations concerning Financial Year 2014 (FY
14) gold production and capital expenditure following disclosure of
that information to investors and analysts between 28 May and 5 June
20132, and a failure by Newcrest immediately to make disclosure of that
information to ASX following that loss of confidentiality.
It is not alleged by ASIC that Newcrest knowingly or intentionally
contravened its continuous disclosure obligations.
The settlement with ASIC does not involve any action being taken by ASIC
against individual officers or employees of Newcrest.
Newcrest Chairman, Peter Hay said:
"Newcrest takes its disclosure obligations very seriously and sincerely
regrets the contraventions. Newcrest has cooperated fully with ASIC in
its investigation of these matters. In addition, Newcrest commissioned
an independent review of the Company's disclosure and investor
relations practices. The full results of the review were released to
the ASX in September last year and Newcrest has since made changes to
enhance its investor relations policies and procedures following the
recommendations of the review."
A copy of the Settlement Deed with ASIC (schedules omitted) and the
Agreed Statement of Facts and Admissions and the Joint Submissions by
the parties for the purposes of the Court proceedings has been filed
and is available electronically on SEDAR at www.sedar.com.
The matter is due to come before the Federal Court shortly.
1Newcrest's 7th June 2013 announcement related to the completion by Newcrest of a
business and budget review and included, among other things, production
and capital expenditure guidance in relation to Newcrest's 2014
2 With respect to the FY14 production information, the contravention
occurred on and from 12.05 p.m. on 28 May until 9:19 a.m. on 7 June
2013. With respect to the FY14 capital expenditure information, the
contravention occurred on and from 5 June until 9:19 a.m. on 7 June
SOURCE: Newcrest Mining Limited
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