The ASX S&P200 gained 0.22% today, led by the chaotic energy sector which rallied 1.65%, having climbed 8.45% over the last month, the strongest performance of any sector over the last 30 days.
Just 6 of 11 sectors were higher at close, with consumer discretionary taking the biggest hit with a 1.04% fall, not unexpected considering the adverse impact inflation can have on the industry.
Russian senior commander arrested for ‘leaking information’
Cracks are beginning to appear in the Russian war machine, just as the Ukrainian people begin their fourth week of resistance.
One of Putin’s most senior military commanders – General Roman Gavrilov, deputy chief of Vladimir Putin's Rosgvardia force or National Guard, which has taken heavy casualties – has been arrested on charges of leaking information that caused loss of life and squandering fuel.
According to US intelligence, about 7,000 Russian soldiers have lost their lives in Ukraine, including at least three generals, and up to 21,000 soldiers have been injured.
To give those numbers some context, 2,401 American soldiers were killed and 20,752 injured in the twenty years the Afghanistan conflict raged.
The pain for Russia doesn’t end there, with international leaders – including the US, UK, and 37 other countries – calling for Putin and his commanders to stand before the International Criminal Court in The Hague on trial for war crimes.
The ICC has now launched an investigation, unsurprising in the face of global outcry over the bombing of a maternity hospital, a theatre clearly marked to be sheltering children, and refugees fleeing through humanitarian corridors.
Things don’t appear to be going well inside Russia’s own borders either; the Central Bank has announced that it will not reopen the Moscow Exchange as originally planned but will only allow non-open-market transactions and those using the SPFI payment system.
On a slightly lighter note, former Californian governor, bodybuilder, and actor Arnold Schwarzenegger has reached out to the Russian people in an emotional video describing his deep respect and love for Russia and its spirit, and his hopes that Russian citizens will reject the narrative told by the Kremlin and take action to end the war.
I love the Russian people. That is why I have to tell you the truth. Please watch and share. pic.twitter.com/6gyVRhgpFV
— Arnold (@Schwarzenegger) March 17, 2022
Property mogul investigated over six collapsed construction companies
Real estate investor Sasha Hopkins, founder of A Team Property Group, is under investigation by ASIC for activities relating to six collapsed companies.
Hopkins owes over 130 investors A$23.5 million in unpaid loans and interest from the collapsed companies, four of which loaned money to entities linked to Melbourne-based property developer Greg Shaw, which failed to make good on the loaned money and promised interest.
Nearly $17 million of that was sourced from mum-and-pop retail investors, who signed agreements with Hunter Capital Investments and five other associated special purpose vehicles established for property developments.
The Australian Securities and Investments Commission confirmed it was investigating the matter, but declined to comment further.
A disgruntled investor’s letter to ASIC read: “Unknown to investors and never disclosed at any stage of the process, Hopkins, through his companies, loaned investor funds to entities controlled by property developer Greg Shaw for all projects except Esplanade Brighton.”
“Hopkins did not buy the land, as he had told investors, but loaned the money to Greg Shaw’s entities without investor knowledge or consent.”
Hopkins claims investors knew enough.
“People were informed,” he previously told the Australian Financial Review, which released an investigation into the matter on March 16.
“We didn’t go into the exact details of every single bit about the external project manager because it’s a competitive industry and that’s intellectual property.”
Hopkins launched legal action against Shaw to retrieve the money before his companies were placed into voluntary administration but failed to meet timelines for payments and liquidators relaunched legal proceedings against him.
The debacle comes as another reminder why many in the industry are calling for regulation similar to that imposed on financial advice for property investment, given how similar the outcomes of bad faith advice can be in either industry.
On the small cap front
Magnis Energy Technologies Ltd was 9.20% higher
American Rare Earths Ltd was 8.54% higher
Matador Mining Ltd was 3.77% higher
Corazon Mining Ltd was 3.12% higher