The director of a Melbourne Internet service provider was sentenced on Thursday to 12 months imprisonment and will serve three months after being found guilty on three charges of making false and misleading statements in a prospectus in Melbourne.
Andrew Geoffrey Thomson was charged following an investigation by the Australian Securities and Investments Commission (ASIC) into a number of dotcom companies, including Dotnet Limited (Dotnet), Hotlinks Internet Services Pty Ltd (Hotlinks) and World Intranet Work Inc.
ASIC alleged that the Dotnet prospectus falsely claimed it had perfected an Internet technology called Genesis. The Genesis application claimed to be capable of replicating Web sites 'on a scale never seen before', from which clients could promote their services and earn revenue from advertising.
Thomson pleaded guilty to raising money through investment documentation relating to the dotcom companies, which ASIC alleged contained false and misleading statements.
Dotnet and Hotlinks provided Internet services and Web site development, particularly for sporting clubs, including a number of AFL teams.
Both Dotnet, which changed its name to Sports Australia Media Group Ltd, and Hotlinks were placed into liquidation in March 2001, and are now deregistered.