UK 21:31 Wednesday, 23 September 2026
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Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
Joel Leonoff, the CEO of Optimal Payments (OPAY) misled investors by selling shares (i.e. transferring title and getting cash) to the hoods at Equities First Holdings LLC. That should be a hanging offence. But worse still he made the transfer when Optimal Payments was in a closed period and so when no directors should trade. Do AIM Rules mean nothing or will AIM regulation Publicly censure Joel or, even better since this is a double offence, force him to stand down at once. I have written a letter to AIM Regulation on this matter.
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Comments
Scott Sanderson
Hey Tom, do you 100% know they sold shares or are you basing that on EFH business model?
EFH state they make neutral market trades that don’t effect the share price, whatever that means?!
Paul
Tom, he didn’t sell his shares. He pledged them as collateral. In a sense he has, to my understanding, lent them in the same way as millions of shares are loaned out by pension funds, banks, insurance companies etc every day. When these shares are loaned full beneficial and legal ownership is transferred, so that if the borrower wishes it can on-lend the securities or sell them. I do wonder how many millions of director shares are loaned every day, in closed periods, from Nominee accounts without them even knowing. I don’t think you’ve demonstrated any crime. Mr Leonoff’s interest in Optimal Payments as stated in the RNS on 1st April are, IMO, entirely correct and I think you’d find HMRC would agree:
From HMRC:
“The transfers under a stock lending agreement are not sales, but, despite their name, they are not loans. Full beneficial and legal ownership is transferred, so that if the borrower wishes it can on-lend the securities or sell them, purchasing replacement securities at a later date to fulfil its obligation to return equivalent securities when the stock loan matures.
Whilst the lender gives up legal and beneficial ownership of the underlying securities, it retains all the risks and benefits of movements in the price of the securities and will continue to recognise them in its accounts.”
http://www.hmrc.gov.uk/manuals/cfmmanual/cfm74110.htm