Westpoint criminal trial abandoned

The prosecution by ASIC of two former directors of property financing group Westpoint has come to an abrupt end two weeks into the trial of Norman Carey and Graeme Rundle.

ASIC had alleged Carey and Rundle breached their duties as officers. The trial started in late April.

Yesterday, ASIC said it "located a document relevant to the charges" and that "in accordance with ASIC's procedural fairness obligations, ASIC immediately disclosed the document and copies were given to Mr Carey and Mr Rundle, and the court."

The corporate regulator said that "following an assessment of the document in the context of the prosecution's case, the Commonwealth Director of Public Prosecutions today advised the District Court of Western Australia that the case should proceed no further and filed notices of discontinuance."

The Sydney Morning Herald reported the document is a detailed file from auditor KPMG which proves the option to buy the shopping centre was extended, and therefore the transfer was not backdated as alleged.