Primary CEO Peter Gregg to face court over Leighton allegations

Primary Health Care boss Peter Gregg will face court over allegations he broke the law while at Leighton Holdings.

Primary Health Care chief executive Peter Gregg at last November’s AGM. Pic: AAP

The corporate regulator has summoned Primary Health Care’s chief executive Peter Gregg to court over allegations he broke the law during his time at Leighton Holdings.

Primary Health (PRY) told the market this morning that it was informed late yesterday by Mr Gregg that he had been served with a local court attendance notice by the Australian Securities and Investments Commission.

“ASIC alleges two contraventions of Section 1307(1) of the Corporations Act during his time as an officer of Leighton Holdings,” Primary said in its note to shareholders.

“Mr Gregg has informed Primary that he denies the allegations.”

The healthcare company said its board would meet today, and continue to meet, to review the implications of the ASIC development for the Primary Group and its stakeholders.

Mr Gregg’s legal representation Reaymond McGuinness, of Webb Henderson solicitors, said Mr Gregg denied that he breached any civil or criminal law.

“He will be seeking to have the notice heard as a matter of urgency,” he said.

Mr Gregg previously worked for Leighton Holdings, which is now known as CIMIC Group, as chief financial officer. The company had come under scrutiny for alleged foreign bribery by its foreign arm, Leighton International, between 2008 and 2012.

It had previously been alleged that Mr Gregg, in his role as CFO at Leighton, had signed off on an “unlawful” $15 million payment in 2011 to a Dubai consultant.

Primary revealed early last year that Mr Gregg was helping ASIC with an inquiry into the allegations.

The news unnerved Primary Health Care investors, with the stock closing 20 cents, or 4.75 per cent, lower at $4.01. Cimic shares fell 52 cents, or 1.4 per cent, to $36.08.