Mayfair 101’s Mawhinney sues ASIC for defamation
Mayfair 101 leader James Mawhinney is suing the Australian Securities and Investments Commission (ASIC) and Deputy Chairman Sarah Court for defamation.
This followed the release of a press release stating that Mawhinney had caused 500 investors to lose $211 million.
He alleges that the court provided quotes to the statement stating:
- He knowingly misled the public by marketing high-risk products as low-risk, and in the process caused 500 investors in the Mayfair 101 group to lose approximately $211 million;
- Due to his gross misconduct in advertising investments, receipt or solicitation of funds, and deceptive marketing, he caused approximately $211 million to be lost to 500 investors in the Mayfair 101 group; and
- Due to his gross misconduct in advertising investments, receipt or solicitation of funds, and deceptive marketing, he has caused so much harm to investors in Mayfair 101, that unless restrained by court injunctions while proceedings continue, it would cause additional harm to investors.
He was also seeking damages and aggravated damages arising from his reputation for being “seriously injured” as well as for “distress and embarrassment” caused by the release.
The proceedings were filed in the Federal Court of Western Australia where Mawhinney resided.
Last month, Mawhinney successfully overturned a 20-year ban on him advertising investments and raising funds from the public through financial products.