Former FAI Security Chairman Brad Cooper has been sentenced to eight years’ jail with a minimum of five years – the most severe jail sentence for anyone involved in HIH-linked prosecutions.

The severity of the sentence for the man Rodney Adler brought with him to HIH from FAI Insurance coincides with Mr Adler again being punished for conducting business from his jail cell – the third time he has been caught out.

Mr Cooper was convicted in the NSW Supreme Court on six charges of corruptly giving a series of cash benefits to influence an agent of HIH Insurance, and on seven charges of publishing false or misleading statements with intent to obtain a financial advantage.

Australian Securities and Investments Commission Chairman Jeffrey Lucy says the co-operation of former HIH Finance GM William Howard, who assisted in identifying the transactions and giving evidence against Mr Cooper, proved invaluable in getting the conviction.

Mr Cooper has been in custody since his conviction on October 31 last year. His trial lasted 44 days and involved six charges related to paying about $124,000 to Mr Howard to facilitate payments to Mr Cooper (or entities associated with him) of $4.9 million, plus forgiving a debt of $1.79 million owed to HIH.

A further seven charges of publishing false or misleading statements related to various occasions when HIH or its agents were induced into making payments to Mr Cooper or associated companies.

In December 2003 Mr Howard was sentenced to three years in prison, fully suspended on the basis of ongoing assistance in the HIH investigation.

Meanwhile, Mr Adler has again been found conducting business from his jail cell. He has now been barred from outdoor visits with his wife Lyndi and ordered to spend the next six months in the tough medium-security wing of Bathurst Jail.

Mr Adler’s privileges, including working in the prison library, are understood to have been withdrawn. Under his new conditions, visiting privileges are restricted to one room and four visitors.

Mrs Adler has made the three-hour drive to Bathurst every week for the past year, often accompanied by their four children.