Thomson Geer successfully defends Nine Entertainment Co and journalist Joe Aston in A$445M class action

Thomson Geer is pleased to have successfully defended Nine Entertainment Co. (as owner of the Australian Financial Review) and high-profile former AFR journalist and author, Joe Aston, in a A$445 million securities class action pursued against them and 11 other defendants in the Supreme Court of Queensland.  

The class action arose out of the collapse of ASX-listed Blue Sky Alternative Investment Fund, an investment and asset management company, in 2021, following an alleged coordinated "short-selling attack" against it by Glaucus in April 2018. The action was brought by Blue Dog Pty Ltd, an investment fund of Mark Sowerby (the founder and former MD of Blue Sky) on behalf of Blue Sky shareholders for alleged tortious conspiracy, insider-trading, misleading or deceptive conduct and a range of statutory contraventions.  

The claims were baseless and, following a series of strike out and interlocutory applications, the claims against Nine and Mr Aston were discontinued entirely with costs orders made in their favour, with court approval granted on June 17.  

The Thomson Geer team was led by Sydney Disputes Partner Scott Castledine who said: "We thank Nine, the AFR and Joe for entrusting Thomson Geer to defend their interests in this class action and we welcome the excellent outcome of a claim that had no basis in fact or law, and which should never have been pursued against them."

Scott was supported by Partner Justin Quill, Senior Associate Ben Hutchins, Associate Ella Walters and Lawyer Noah-James Lambert.

Thomson Geer has significant experience in class actions. Among other matters, it is currently defending Mitsubishi Motors Corporation in a Federal Court class action regarding fuel emissions and recently acted in the Marsden Park/Clydesdale development class action which received settlement approval from the Federal Court on 29 May.

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