Justice Jonathan Beach set down a two-week trial period beginning September 17, 2018, but that could be extended by another week when legal teams for each party meet for a further case management hearing on June 8.
The ACCC has taken dairy processor Murray Goulburn to court over allegations of misleading or deceptive representations in setting the final 2015-16 farmgate milk price at $6.05 a kilogram of milk solids.
The commission has also alleged MG’s former managing director Gary Helou and former chief financial officer Brad Hingle were aware the opening price or the circumstances supporting the 2016 season opening price were “false, misleading or deceptive, and/or likely to mislead or deceive”.
MG, Mr Helou and Mr Hingle have all denied the ACCC’s allegations.
The case will centre on whether there were reasonable grounds in maintaining a milk price of $6.05/kgMS in the months leading up to April 27 last year when MG dramatically reduced it to $4.75/kgMS-$5/kgMS and introduced an unpopular clawback on farmers for overpayments.
The decision resulted in a dramatic decline in the company’s unit price listed on the Australian Securities Exchange soon after the announcement.
It prompted a class action against MG, led by John Webster, trustee for Elcar Pty Ltd Super Fund Trust.
Justice Beach will also hear that class action case in the Federal Court.
He said the case had to be heard after the ACCC’s court action against MG, and was likely to be heard in late 2018 at the earliest.
Mr Helou and Mr Hingle were not in court today.
Source: The Weekly Times
Link: http://www.weeklytimesnow.com.au/agribusiness/dairy/murray-goulburn-gary-helou-and-brad-hingle-accc-case-to-be-heard-in-2018/news-story/1f8d16a7ff312439fa774e8d2ff9b69c