Mark McLean Hildebrant, a former portfolio manager of investment firm Vanguard, is facing 63 counts of insider trading. The 39-year-old former manager did not enter a plea when he appeared Tuesday at the Melbourne Magistrates Court.
He was charged earlier this month by the Australian Securities and Investments Commission (ASIC) for orders he placed on the Bourse de Montreal futures exchange for the $72-billion International Shares Index Fund of Vanguard. ASIC alleged that Mr Hildebrandt earned $600,000 by making parallel trades that matched Vanguard's moves.
ASIC initiated the probe, which reportedly started in the first half of 2010, after it received as referral from the Bourse de Montreal.
Mr Hildebrandt of Glen Iris faces a maximum penalty of five years imprisonment or a $200,000 penalty for each charge. If convicted on all 63 charges, he faces a maximum total prison term of 315 years or a fine of P12.6 million.
Another hearing for mention was set by Magistrate Donna Bakos on Nov 15.
ASIC has recently launched a crackdown on insider trading by launching dozens of court cases that target high-speed share traders and shadow brokers. Among the most prominent case is that of a former Hanlong executive who recently entered a guilty plea.
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