You are so right Gekkko.
I have just lodged yet another formal complaint with ASIC about the manipulation of Galaxy's share price by algorithmic trading, with reference to the evidence in this excellent video "The ASX's Dark Secret". Let's see what happens this time. I am hopeful something positive will come out of my complaint given the following advice ASIC has sent to me about how it supposedly deals with reports of misconduct:
As far as the 4 basic questions above that ASIC will be asking itself when it considers my report of misconduct, I would have thought the answers are:
1. That the extent of harm or loss is substantial. Think of all the GXY holders who have seen the value of their shares eroded away over the past 3 years. Think of the wealth transfer that has occurred away from Australian shareholders and superannuation funds to UBS and other overseas investment banks. Think of the lost capital gains tax that the Australian Government is going to miss out on.
2. The benefits of pursuing the misconduct are obvious. Wealth will be retained by shareholders, the Government will receive more in taxes and will have less to pay in pensions, and the Australian law (Corporations Act) will be upheld and enforced.
3. The manipulation is extremely serious. Section 1041a of the Corporations Act has been contravened.
4. Is there any alternative course of action? Well, I guess the alternative course of action is that ASIC can just continue to ignore the manipulation and contravention of the Corporations Act as it has consistently done in the past.
Finally, I just wanted to comment on how user unfriendly the ASIC website is. Not only is it very difficult to actually figure out how to actually lodge a complaint, but the questions you must answer as part of lodging a complaint (being the ones marked by a red asterisk) are almost set up to prevent you from proceeding any further. For instance, you can't just lodge a complaint based on an identified pattern of manipulation. You must also identify the company who is doing the manipulation. Thanks to this video, I was able to identify UBS as the protagonist. But if I didn't know that, I would not have been able to lodge the complaint.
I think it would actually help ASIC staff if they could read your comments made on those 4 questions..especially the fatter more lazy staff members..the odd remaining dinosaur who spends more time on smoke-breaks than they do taking action against villains..If an issue becomes too big for them, then it can & should be escalated to the chief..who should then be raising flags to the highest levels of government..that it's become so prevalent..and such a heavy impact on the widespread public, that a big inquiry is needed..a step along from the recent Royal Commission into Banking. We know crimes are being committed, we can see big fake orders being placed monotonously & removed..we can see artificial massive shareholder wealth destruction..and unsuspecting investors should not have to become the police..it needs to be stamped down on..BIG penalties issued & enforced to make up for capital gains-tax deficits AND to act as deterrents for future bad behaviour by these infamous renowned parasites on society..the big stick..look how it shook up AMP..
