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Further Information
For more information on organising a class action call 1800 810 812.
Contact Infomation
If you require further information about the current proceeding or are interested in being a part of the current action or potential future proceedings, please contact us on (02) 9261 1488.
The Action
On 17 April 2007, Maurice Blackburn commenced a class action against AWB Limited (“AWB”) in the New South Wales District Registry of the Federal Court of Australia. On 9 October 2007 a new proceeding was commenced against AWB (“the AWB class action”) brought under Part IVA of the Federal Court of Australia Act, in lieu of the original proceeding commenced on 17 April 2007.
The AWB class action was commenced on behalf of the Applicants John and Kaye Watson and on behalf of persons (“Group Members”) who meet the following four criteria:
- between 11 March 2002 and 13 January 2006 inclusive (“the Period”) obtained an interest in AWB’s “B Class” securities (“AWB securities”) being an interest that was the result of a purchase of AWB securities on the financial market;
- at the close of business on 13 January 2006 held an interest in AWB securities obtained during the Period;
- suffered loss and damage by reason of AWB’s Contravention, as defined below; and
- had, as at 9 October 2007, entered into a litigation funding agreement with IMF (Australia) Limited in relation to this proceeding.
AWB's Contraventions
The AWB class action alleges, amongst other things, that:
a) AWB breached its continuous
disclosure obligations imposed by
ASX Listing Rule 3.1 and section 674(2) of Corporations Act 2001
(Cth) by failing to inform the market that:
i. AWB was paying transportation fees
and handling fees to an
Iraqi entity in breach of resolutions of the Security Council of
the United Nations;
ii. AWB concealed the payments from the Department
of
Foreign Affairs and Trade and the United Nations; and
iii. had the payments and the true arrangements between AWB
and Iraq not been concealed, then Ministerial Permission
allowing for the shipments of wheat to Iraq by AWB would not
have been given ("the Information").
b) As a result of the alleged breaches by AWB:
i. the market price of the AWB
securities was greater than the
price at which the AWB securities would have traded in the
Period had the market been made aware of the Information;
and
ii. shareholders who during the Period bought the
AWB
securities,
and retained some or all of those AWB securities
as at the close of business on 13 January 2006, have suffered
loss.
Who is not included in the action
The AWB class action is brought on behalf of those AWB security holders that satisfy each of the criteria set out in 1 to 4 above. For those who believe that they satisfy categories 1 to 3 above, but have not entered into a litigation funding agreement with IMF (Australia) Limited as at 9 October 2007, it may be possible to maintain a claim against AWB.
If you have not signed a funding agreement with IMF and want to advance a claim against AWB, please contact us on (02) 9261 1488 or by email to awbclassaction@mauriceblackburn.com.au.
The AWB class action does not currently include persons who:
-
hold or have previously held AWB "A Class" securities;
-
purchased AWB securities by way of prospectus or through any AWB employee share scheme;
-
only purchased their AWB securities outside of the period 11 March 2002 to 13 January 2006; or
-
had not, as at 9 October 2007, entered into a litigation funding agreement with IMF (Australia) Limited in relation to this proceeding.
Warning
The AWB class action, as currently framed, is not an action against directors, stockbrokers, financial planners, accountants or any other persons or institutions who may have been directly or indirectly involved in the purchase by any persons of AWB securities. If you think that you might have a claim against any such persons or institutions, we recommend that you seek independent legal advice, as time limitations apply.
Further information
If you require further information about the current proceeding or are interested in pursuing a claim against AWB, please contact us on (02) 9261 1488 or by email to awbclassaction@mauriceblackburn.com.au.
