An Australian court found that Regional Express Holdings, formerly a listed airline, breached its disclosure obligations tied to a February 2023 profit forecast. The company had announced it was optimistic about having positive operating profits for the full fiscal year 2023, barring any further external shocks.
Details of the Case
The Supreme Court of New South Wales found that Regional Express did not have reasonable grounds to expect positive operating profits from April 14, 2023, onward. The Australian Securities and Investments Commission (ASIC) reported this decision, which comes weeks after a former executive chair admitted to allegations of director duties breaches and involvement in the company’s continuous disclosure contravention.
The collapsed airline was bought out by U.S. aviation services provider Air T in 2025, a year after it entered voluntary administration. ASIC Chair Sarah Court emphasized the importance of continuous disclosure, stating it is a core obligation for listed entities and underpins Australia’s corporate governance framework.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
