ASX keeps pressure on AACo over alleged leaks to Joe Lewis

Joe Lewis, whose Tavistock Group owns about 52 per cent of the big Brisbane-based beef business, is at the centre of multiple US court securities fraud indictments which included his alleged provision of inside information about several companies to friends and two of his private jet pilots.

Some of that information allegedly involved AACo's 30,000 cow and calf losses and other property damage during unprecedented flooding on four Queensland properties in early 2019.

Attempts last year by the Australian Securities Exchange to find out who leaked privileged information from AACo in 2019 were met with the company declaring neither of the two directors representing Tavistock on the board had provided any information to Mr Lewis before it was released officially on February 11, 2019.

However, last week the ASX returned with more questions after Lewis pleaded guilty, in a plea agreement with US prosecutors, to charges he provided details about AACo's flood losses to his pilots.

The court indictment had alleged he suggested they sell their AACo shares.

The ASX's compliance division asked if AACo had made any more inquiries to board members, particularly the Tavistock directors at the time, to find out if anybody had disclosed any information about the flooding prior to the board's announcement to the stock market.

In response, AACo said it had not made such further inquiry and no more investigation was required of its directors.

It said previous inquiries had been completed and the results did not change the company's original response to the ASX, nor did AACo consider any further inquiry necessary.

However, company secretary and general counsel, Bruce Bennett, said the US court's plea agreement was still to be considered at sentencing proceedings and any new public information arising from those proceedings would be considered by its board to determine if any more investigation was needed.

Tavistock's two directors representing Lewis' interests on the AACo board back in 2019 were, Dr Shehan Dissanayake, who retired late last year, and Neil Reisman, who remains on the board, although no longer works for Tavistock.

Meanwhile, Lewis, as a result of his guilty plea relating to other securities fraud charges in the New York District Court, has agreed to resign and relinquish control over board seats on any public US companies he has interests in.

The undertaking does not, however, extend to the reclusive billionaire's interests outside the US, including Tavistock's three director representatives on AACo.

Joe Lewis, 86, is based in the Bahamas, and reportedly has assets and personal wealth totalling more than $9 billion.