WiseTech skids again as ASIC confirms it is watching Richard White drama and pals Citi spell out risks

WiseTech Global has come under more pressure from jittery investors as the Federal corporate watchdog confirms it is monitoring the drama around billionaire founder Richard White’s alleged personal affairs.

Australian Securities and Investments Commission deputy commissioner Sarah Court told journalists said her agency was aware of allegations against the WiseTech chief executive.

But she was tight-lipped about what action, if any, the regulator was taking in the wake of promises by Mr White’s fellow WiseTech directors on Monday to examine reports about his private affairs.

Wisetech shares plunged more than 13 per cent on Monday as detailed media reports drew links between Mr White’s Federal Court legal battle with Sydney beautician Linda Rogan and another alleged affair that was subject to a WiseTech board probe in 2020.

Wisetech shares staged a marginal recovery on Tuesday after Mr White entered a rushed settlement Ms Rogan, who had accused him in the Federal Court of expecting her to “enter into a sexual relationship . . . to fulfil the promise that he would invest in my business”.

The stock slid again today amid further media reports, including that Mr White had a lengthy relationship with a WiseTech employee and gave her a luxury waterfront mansion worth $7 million.

It was also alleged he had signed at least two non-disclosure agreements with former lovers.

Broker Citi, a long-time supporter of Mr White, played down any potential harm that the controversies might cause to WiseTech’s earnings in the near term and to existing relationships linked to its successful Cargowise logistics technology.

But Citi analyst Siraj Ahmed said the billionaire chief executive’s personal affairs could cause delays in new signings to Cargowise. “We expect it to be an overhang until a resolution becomes clearer,” Mr Ahmed said.

He said Citi’s current neutral rating on the stock was based on WiseTech’s share price being high compared with forecast earnings.

Mr White had been expected to be a keynote speaker at a Citi investment conference in a Sydney hotel last Wednesday.

But when news began to leak about Mr White’s Federal Court battle with Ms Rogan, Citi put his presentation behind closed doors.

Ms Rogan applied last month to overturn a bankruptcy notice that Mr White served on her in August demanding she repay him $91,0000.

She said she had spent that money furnishing a luxury Vaucluse property Mr White had bought to be her home when they were allegedly lovers in 2022.

She alleged she was turfed out in November 2022 after Mr White’s now-wife, Sydney lawyer Zena Nasser, learned of their secret relationship.

Ms Rogan claimed she had met Mr White in mid-2022 with a view to him helping buy out her partners in the Bionik Wellness business.

Mr White was fighting Ms Rogan’s Federal Court application and had gained secrecy orders over parts of her case ahead of scheduled showdown on February 6.

Documents terminating the action were lodged with the court late Monday with no disclosure of the terms of the peace deals.

WiseTech shares closed $1.55 down at $106.07, valuing Mr White’s remaining stake around $12.2 billion.

Disclosures show interests linked to Mr White sold 1.39 million shares in the four weeks to October at an average price of $132.82.