Something positive for all the haters of manipulators:
Stock Swami may face over $443k in damages
Miklos Bolza - 4m ago
Mining investor Tolga Kumova is seeking more than $443,000 in damages for what he's called a relentless and defamatory campaign by the Stock Swami Twitter account.
© Dan Himbrechts/AAP PHOTOSInvestor Tolga Kumova is seeking more than $443,000 in defamation damages over tweets.
On Thursday, Mr Kumova's barrister Sue Chrysanthou SC said her client had his reputation slammed through a series of tweets claiming he engaged in insider trading and fraudulent "pump and dump" schemes.
"He's a person who comes here needing to be vindicated by the court by the award of damages. There was huge hurt," she told the Federal Court.
Mr Kumova is suing the owner of the Stock Swami Twitter account, Alan Davison, for defamation over six tweets which alleged, among other things, that he was part of a syndicate operating through Twitter that raised share prices through hype for their own personal profit.
As well as a cap of $443,000 for general damages in defamation cases, Mr Kumova is also seeking additional amounts in aggravated damages.
Ms Chrysanthou said the small caps mining investor had a good reputation before the tweets but this had been destroyed after word of the allegations had spread and others did not want to deal with him anymore.
"It's a very, very serious allegation indeed, and it's gotten around. Everybody knows about it and it has had a huge impact on his reputation," the barrister told Justice Michael Lee.
Mr Kumova found out the identity of the person behind the Stock Swami account through others who also had been defamed by him, the court heard.
New Zealand-based Mr Davison is also alleged to owe aggravated damages for his conduct during the proceedings, including criticisms that Mr Kumova, his legal team and witnesses had fabricated evidence, documents and legal fees.
On Friday, Mr Davison apologised to the court for withholding documents and misleading Mr Kumova and his lawyers during the proceedings.
Ms Chrysanthou argued that for all his tweets about improper conduct in the defamation case, the only one acting improperly was Mr Davison himself.
A press release by Mr Davison's lawyers at Xenophon Davis released two days before the hearing was also attacked for presenting the swami as a hero who uncovered pump and dump schemes because of his morals.
"To put himself forward in that way as some sort of hero of the masses… we say was not proper and aggravates damages," Ms Chrysanthou said.
Justice Lee questioned why a law firm would be releasing such a statement in the first place.
"What are solicitors doing writing press releases in respect of matters which are about to go to hearing in any event?" the judge asked.
