Former Metigy CEO David Fairfull was sentenced to nine years’ imprisonment by the Federal Court in Sydney on Friday, following an ASIC investigation into misleading conduct and misuse of company funds. Justice Wendy Abraham set a non-parole period of five years and four months, The Sydney Morning Herald reported. Fairfull was taken into custody after sentencing.
Fairfull had pleaded guilty to one count of making false and misleading statements and one count of dishonestly using his position as a director to gain a personal advantage, contrary to the Corporations Act 2001.
The charges covered false revenue and income claims made to investors during fundraisings between 2018 and 2021, during which about $23.4 million was raised, ASIC said. Fairfull also used his position to lend $7.7 million from Metigy to finance personal real estate purchases in November 2021.
Metigy, an AI marketing company that developed software for small to medium businesses, collapsed into administration in July 2022. Fairfull was declared bankrupt later that year. The matter was prosecuted by the Commonwealth Director of Public Prosecutions following a referral from ASIC.
