Australia’s federal court has ordered Isignthis Ltd, now known as Southern Crossments Ltd, to pay $ 10 million in violation of revelation laws.
Nickolas John Karantzis, a former CEO and CEO, was also excluded from managing companies for six years and punishes $ 1 million for violating his manager’s duties and failing to ensure that the information provided to ASX was not false.
Isignst This was a business that provided remote identity verification, banking transactions and payment processing services, which dealt with certain violations of the law between 2018 and 2020.
The penalties and exclusion commands follow a previous crisis by justice Mcevoy Finding that isignthis:
- deals with misleading or misleading behavior representing on August 3, 2018 that less than 15% of the company’s total revenue in the fourth quarter until June 30, 2018 was from a one -time or installation fees (lump sum revenue),
- Failed to reveal from August 3, 2018 that in the fourth quarter until June 30, 2018, it had recognized about $ 3 million on a lump sum and non -repeated revenue and had made approximately $ 2.85 million at one -off costs and costs and
- It failed to reveal from 12 May 2020 that Visa had ended its relationship with Isignthis and failed to reveal Visa’s reasons for ending.
Justice Mcevoy also found Mr. Karantzis:
- failed to exercise his powers and relieve his duties with reasonable care and diligence,
- Participated in Isignthis’s failure to comply with continuous notification obligations regarding the recognition of revenue and costs in 2018 and
- Failure to take reasonable measures to ensure that the information provided to ASX about the ending of Visa was not false or misleading.
On December 7, 2020, Asic began the civil proceedings at the federal court against Isignthis Ltd and Managing Director and Managing Director Nickolas John Karantzis.
On June 21, 2024, the Federal Court found that Isignthis Ltd dealt with some law violations between 2018 and 2020.
On May 11, 2022 (ASX: SP1), Isignthis Limited (ASX: ISX) changed its name to Southern Cross Payments Ltd (ASX: SP1). On November 4, 2022, Southern Cross Payments Ltd was deleted from ASX.