Jan '08 Trading.100 million MFS traded in less than one...

Jan '08 Trading.

100 million MFS traded in less than one day.....
the halt to trade with little info re change of substantial shareholders for a very long time and when those anns came they included trading in other stocks ?
and months later included previously undisclosed substantial holdings related to Opes and Chimaera...
from memory.

as a HC poster comments on

5/9/9 on the ANZ thread.....
"Superguru, Opes Prime and Sons of Gwalia are totally different situations. In order for an auditor to be liable they have to have signed off on an audit report that the accounts represent a true and fair view and are a going concern without any reasonable basis for that opinion.

Sons of Gwalia there has already been a court case where it was found accounts released to the ASX were false and misleading.

Based on what is in the public domain it appears in the Opes Prime case that it became insolvent around January/February 2008 due to a combination of the value of security it held over margin loans/stock lending arrangements falling as a result of the january market decline and failure to call in accounts that were in default. There is no suggestion that Opes Prime ever published false and misleading audited accounts, or that it was not a going concern at the time of the last audited accounts (presumably the accounts for 30 June 2007, for which the audit would have been finalised September 2007 at the latest)."

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"Disclaimer - Investment decisions should not be based on comments in an internet forum (especially mine) and I take no responsibility for anyone who is stupid enough to make decisions based on my musings and ravings in this forum. "
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Some interesting points made re auditing.imo

But I am still interested in the sharetrading...Jan'08
So if there was large shortselling involved in MFS trades and then a halt occurred, that would create a situation where many borrowed shares could not be accessed to cover that shortselling....Is that right?
Would off market trading of some sort occur?that might explain very late anns...or no anns?
What would be the ASX' responsibilty be if trades could not be completed?..

Shouldnt there be some requirement and mechanism to calculate the outstanding uncovered short selling and announce it to the market in good time?


IMO the trading is as important as the figures that liquidators might investigate.
The parties trading a company down could stand to benefit from an administration, company reconstruction or asset selloff imo.and other shareholders suffer, not to mention the repercussions for the Australian economy.

Will liquidators investigate share trading?