Homewares retailer Adairs Ltd (ASX: ADH) saw shares close at $1.53 down 2.2% on Friday following the announcement of a penalty from the Australian Securities and Investment Commission (ASIC) over the alleged breach of its continuous disclosure obligations.
The corporate watchdog maintains that the disclosure breach occurred last year when Adairs failed to inform the ASX of its revised forecast figures in its 2017 full year guidance. The retailer paid the $66,000 penalty, without any admission of liability.
Adairs joins Rio Tinto Limited (ASX:RIO) and Bellamy Australia (ASX: BAL) in ASIC's stream of accusations regarding potential breaches of the Corporations Act. Bellamy's Australia also paid a $66,000 penalty earlier this month regarding its potential breaches in 2016. Rio Tinto's case is ongoing with the mining giant charged with fraud after allegedly overstating the value of its Mozambique coal assets.
