Helia Group has found employee share trading before disclosure of the end of a lucrative contract with Commonwealth Bank did not breach the law or company policy. 

Shares in the group dropped 28% on March 24 when the news was made public.  

Pauline Blight-Johnston, who was CEO at the time, had sold shares worth about $2.6 million by late the previous month. 

Helia later engaged an independent adviser to review employee trading. 

The lenders’ mortgage insurer said today its board has approved changes to its trading policy, disclosure committee charter and board reserved power after the review “highlighted opportunities to uplift Helia’s governance so that it continues to meet high standards of transparency, accountability and corporate governance”. 

Ms Blight-Johnston left in June after more than five years as CEO and MD. Helia previously said she sold the shares in an allocated staff window after earnings results.