Former CEO pleads guilty to dishonest conduct for cheating investors
Akhilesh Kamkolkar has pled guilty to two counts of engaging in dishonest conduct, with two further offences under consideration, for cheating investors of nearly $1 million.
He pled guilty in the Downing Centre Local Court to two counts of engaging in dishonest conduct in relation to financial products or services, contrary to s 1041G of the Corporations Act.
Two further charges of carrying on a financial services business without a licence would also be considered by the Court.
It is understood Kamkolkar, chief executive as sole director of Orb Global Investments (Australia) Pty Ltd, obtained nearly $1 million from four investors between January 2014 and February 2018 and failed to invest those funds according to their instructions.
He falsely represented that the proposed investments were “not as high risk” or were “capital guaranteed”, that he had invested the funds, and that the investments were earning returns.
For at least a year following each investment, Kamkolkar continued to tell the investors their funds would be repaid with significant returns.
He falsely represented to two clients that they would be investing in commodities like oil, coffee, corn, or gold. Of the $449,000 promised by one investor towards transacting of gold sourced from Africa, Kamkolkar promised $300,000 every quarter for 12 months.
It is understood Kamkolkar received the funds into an overdrawn account and spent the funds for his own purposes or to pay back other investors.
He provided another couple with two fabricated statements of account that indicated successful investments though he used the money for other purposes.
He promised one investor a 30% return on capital plus original capital to be guaranteed and returned within three months. This money was used by Kamkolkar to pay another client within days of receipt of the funds.
Kamkolkar’s dishonest conduct was being prosecuted by the Commonwealth Director of Public Prosecutions following an investigation and referral by ASIC.
The next Court date was on 24 March 2023 at the Sydney Downing Centre District Court.
AUTHOR
Rhea Nath
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