‘Bank’ promoter jailed
A man who was prosecuted by the Australian Prudential Regulation Authority (APRA) over the alleged establishment of an unauthorised banking operating has now been jailed for 12 months for contempt of court.
APRA announced on Friday that the man, David Robert Siminton, had begun the 12-month jail term in for a contempt of court in relation to the operation of the unauthorised ‘bank’ Terra Nova Cache.
It said the Federal Court had refused to stay Siminton’s jailing pending the High Court hearing an application for special leave to appeal.
The regulator said that it had initiated the contempt of court charge after Siminton breached a court order that froze the assets of Terra Nova Cache and that the Federal Court had also upheld orders permanently restraining Siminton from operating the unauthorised bank.
In November 2007, the Federal Court found Siminton guilty of two separate contempts of court. In the contempt action initiated by APRA, Justice Tracey sentenced Siminton to 12 months jail on eight charges for his persistent, concealed personal use of funds in breach of the orders made by the court.
Commenting on the events, APRA deputy chairman Ross Jones said the Full Federal Court decision was a step closer to the time depositors in Terra Nova Cache could receive at least part of the money they had placed with Siminton.
AUTHOR
Mike Taylor
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