WiseTech (ASX:WTC), a company already dealing with a not-too-distant headache attached to its founder Richard White (read: the controversial ‘sex for advice’ allegations), has been stung on a new front: This time by ASIC and the Australian Federal Police.
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According to early live trading via CBOE, shares sank nearly -10% out the gate down to around $77/sh as the market digested the news. WiseTech itself reported the raids on Tuesday morning (the raids occurred on Monday) and confirmed investigators are looking at insider trading allegations.
It’s the nature of those allegations that likely has the market most concerned – they relate to White himself, already under scrutiny with a fairly divided shareholder base when it comes to whether or not he should go.
(In a recently created role he made for himself, White will make at least $1 million with WiseTech for the next 10 years.)
“So far as WiseTech is aware, no charges have been laid against any person and there are no allegations against the Company itself,” the company wrote on Tuesday.
“They executed a search warrant requiring the production of documents regarding alleged trading in WiseTech shares by Richard White and three WiseTech employees during the period from late 2024 to early 2025.”
White is likely now procuring his own advice.
WTC closed at $85.02/sh on Monday.
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