Former Gunns boss John Gay and federal prosecutors have been ordered into mediation to determine how much Mr Gay should pay in a proceeds of crime case. Source: ABC News
The Commonwealth DPP is seeking to recoup money Gay made from selling shares in the now-collapsed Gunns while he had price-sensitive information.
Mr Gay was convicted in 2013 of insider trading over the sale of $3 million worth of shares in December 2009.
Justice Stephen Estcourt has ruled the value derived from the sale of the shares should be determined by the difference in how much Gay made in December 2009, compared with what he would have made if he had legally sold the shares in February 2010.
Mr Gay’s lawyers have argued the former timber boss made a loss on the shares, which were sold for about $3 million.
In April, Justice Estcourt rejected the DPP’s submission that it should pursue that figure for repayment.
