Elias left holding ball as investors take early shower CITY BEAT: Rebecca Urban | December 10, 2008 Article from: The Australian BENNY Elias and the folk at Chameleon Mining seem to be pretty confident about the veracity of their David-versus-Goliath legal case against Murchison Metals.
It's just a pity that the bulk of their shareholders don't agree.
A quick flick through Chameleon's share register reveals that many key supporters of the company around the time of its share market relisting last year have sold out and moved on.
That includes Captain Starlight Nominees, which is registered to Otto Buttula's Perth-based brokerage Findlay Securities. It has flogged most of its 51 million shares, according to Chameleon's latest annual report.
Josephus Verheggen, a West Australian-based investor who once had 30 million shares to his name, has since slipped off the list, as has Sydney stockbroker Bill Bishop, who used to own 31 million shares.
Former chairman Siew Hong Koh, who launched the legal case over access to Murchison's iron ore projects in Western Australia, has left the Chameleon board. His Union Pacific Investments has since trimmed its shareholding.
Even RM Capital, the stockbroker that sponsored the capital raising that helped Chameleon relist, has sold out.
In fact, 15 of the 20 largest investors as of September 2007 have reduced their shareholdings, while 14 of those no longer appear on the top 20 list.
Elias, a former rugby league player who joined the cash-starved miner earlier this year, must be wondering what he let himself in for. __________________________________________
COMMENT I am wondering whether any of these people had to notify the ASX of a change in shareholding. I am not sure. But I dont recall seeing any.
This large scale exit from chm by some of the largest shareholders should alert the ASX to the possibility that all or some of them may have acted on information not available to the public and other shareholders. Has there been any inside trading in chm?
This is a matter the asx should investigate with some urgency. It might be just coincidence that they have sold but there may be suspicious circumstances that need investigation to clear up any hint of illegality.
Lets see if the ASX or ASIC investigate and if necessary prosecute for any illegality if any are found to have occurred.
MMX Price at posting:
53.0¢ Sentiment: Sell Disclosure: Not Held
