Peter Gregg can face up to 2 years of jail; Primary Health Care’s meeting Tuesday

Primary Health Care’s Managing Editor and Chief Executive Officer Peter Gregg has been given a court notice asking to face the allegations made by Australian Securities and Investments Commission that he broke law by falsifying records during his tenure as Leighton Holdings’ executive. If Gregg is found guilty, he may face up to two years of imprisonment.

However, Gregg has denied of the charges levied against him. The healthcare company worth $2 billion has organised a meeting to review the situation today. “The Primary board is meeting today and will continue to meet and review the implications of this development for the Primary Group and its stakeholders,” the company wrote in a statement.

Gregg has been accused of making a $15 million payment to Leighton (now known as CIMIC) in 2011. The deal was for allowing Leighton to buy steal at preferred rate. However, it is alleged that no steal was procured thereafter.

“ASIC alleges two contraventions of Section 1307(1) of the Corporations Act during his time as an officer of Leighton Holdings Limited,” the statement read. Gregg’s lawyer Reaymond McGuinness said in an emailed statement, “Mr Gregg denies that he breached any civil or criminal law. He will be seeking to have the notice heard as a matter of urgency.”

CIMIC Group, on the other side, stated that it has not been served with any notice regarding the matter. Hence, it has not been charged with any offence. However, several reports suggest that the group engaged in foreign bribery when Gregg was its executive.

Peter Gregg was serving as the chief financial officer and deputy chief executive officer at Leighton until 2013. He had joined Primary Health Care in 2015. He replaced the founder of the company Edmund Bateman after he extended his sick leave and later passed away in 2015.

The share prices of the company have reportedly dropped after Gregg faced allegations. A short while ago, they were down by 5.7 percent.