todays age article

On the wrong Trak
A FRUSTRATING year has ended for former QuikTrak Networks chief executive Mark Pallister.
In November 2005, the Australian Securities and Investments Commission filed fraud charges against him over matters that had already been dismissed in a lower court in Western Australia.

The charges included a claim that Pallister falsified invoices and other documents and made false statements to obtain more than $900,000.

Pallister said the money had been repaid and claimed the nature of the transaction was misunderstood or misrepresented by ASIC.

Although the charges had no connection to QuikTrak, which installs satellite security systems in exotic cars, Pallister decided to step down as managing director when the charges were foreshadowed.

He quit as director and as chief executive, but remains the largest shareholder of QuikTrak.

Just as the ASIC charges were being laid, QuikTrak's shipment of transponders for its security equipment was delayed four months and the interim results were blighted by a non-cash write-down of $13.6 million.

The laying of charges against Pallister also prompted Thorney Holdings, the investment division of Richard Pratt's Pratt Group, to cancel its subscription to a planned $4 million placement by QuikTrak.

To cap it off, the charges also punched a hole in QuikTrak's share price, which dived from 45¢ to 36¢ on the day the charges were announced. They have since dropped to 19.5¢.

After several delays, the fraud case was set down for hearing at 9am yesterday. It was only on Friday that ASIC and the Commonwealth Director of Public Prosecutions revealed they were going to drop the case. They told Pallister at 4.45pm on Friday.

Reports from the court suggest that the judge was not pleased, noting that it was "unacceptable" for the matter to have come this far and then be withdrawn at the last minute.