Magnate Faces ASX Probe

Travers Duncan is facing a corruption inquiry after reports surfaced that he deliberately misled the Australian Stock Exchange.

Duncan is believed to have concealed to authorities that involvement of the Obeid family in Cascade Coal. The family patriarch, Eddie Obeid, was a NSW minister and famed Labor powerbroker. Reports said that Duncan hid the fact because he might not get the mining lease if it was found out that Obeid is involved in Cascade.

The NSW Independent Commission Against Corruption has alleged that corruption is involved with the issuance of Cascade Coal’s exploration license. The commission also said the mining minister Ian Macdonald was also involved by providing inside information to former MP Obeid.

That information was allegedly used by the Obeid family to purchase properties in the Mount Penny area, including farming in two tenderers for coal licenses. The family was expected to rake in as much as $100 million in profits.

Other Cascade investors were also expected to earn as much as $50 million last year when they attempted to sell Cascade Coal to public company White Energy. Brian Flannery, John Atkinson, John McGuigan and John Kinghorn were White Energy directors.

Duncan has denied the allegations, saying he is an honest man. He also denied using “weasel words” during inquiries about the Cascade deal. Duncan said “weasel words” mean providing as much details and information as possible.

In reality, “weasel words” mean statements that were said to intentionally mislead or be ambiguous.