NOS News•today, 4:08 PM•Amended today, 5:33 PM
Insider trading: that is why Ajax is firing general manager Alex Kroes. But how right is that?
Just before it was announced in August 2023 that he would become director, Kroes bought shares in the professional club. He himself says that he reported the purchase. In that case, Ajax must explain why the new director was not spared from his action, says the Association of Stock Owners (VEB), which represents the interests of shareholders of listed companies.
The most important characteristic of insider trading is that someone buys or sells shares of a listed company while he or she has knowledge of not yet public, price-sensitive information. According to VEB chairman Gerben Everts, the Netherlands Authority for the Financial Markets (AFM) must assess whether the suspended Ajax director has traded with insider information. Everts previously worked there as a supervisor and dealt with insider matters at listed companies.
Everts does call the purchase “stupid” and “unfortunate”. He also thinks that information about a new director at a listed company is quickly considered price-sensitive. “It is not obvious, but it is quickly considered that way. Especially at a company like Ajax, the director is someone who also changes the direction of a company.”
Supporters of the club also find Kroes’ actions “very stupid”:
‘They keep filling the poison cup themselves’
Alex Kroes himself indicates that he wanted to show confidence in Ajax with the purchase. “Skin in the game,” Kroes wrote in a statement on LinkedIn. Indeed, it is not unusual for a director to buy shares to show that he or she has confidence. VEB chairman Gerben Everts: “As shareholders, we often find this desirable.”
For the time being, the VEB assumes good intentions. “I believe that Kroes did not think he wanted to score anymore.” Everts emphasizes that this intention does not mean that the correct action was taken.
Ajax needs to take a good look at itself in the mirror, says Everts. “If, as Kroes says, Ajax knew about the share purchase, you can ask questions about the internal organization. Then the Supervisory Board should have saved him.” The VEB will ask questions about this at the Ajax shareholders’ meeting.
AFM
The AFM has not yet made a statement on the matter and refers to its duty of confidentiality. If there is indeed insider trading, the AFM can take various steps. This can vary from an admonishing conversation to forwarding the case to the Public Prosecution Service.
