Adviser permanently banned by ASIC
A South Australian financial adviser who the Australian Securities and Investments Commission (ASIC) alleged had directed client fees to his own personal bank account has been permanently banned.
ASIC announced on Friday that it had permanent banned David Mario Alafaci, of Morphett Vale, South Australia from providing financial services on the basis that he was not of good fame or character.
It said Alafaci was an authorised representative and employee of Centra Wealth Pty Ltd from 2 July 2014 to 11 January 2016 and an authorised representative of Interprac Financial Planning Pty Limited from 12 January 2016 to 16 December 2016.
The regulator said that it had found that Alafaci misled Centra's clients about his authority to issue invoices by issuing invoices contrary to his contractual agreement with Centra and instructing clients to pay fees directly into his personal bank account.
It said Alafaci received a financial benefit and acted in his own self-interest at the expense of his licensee and that Alafaci's conduct in issuing the invoices also misled Centra and caused it to suffer a financial loss.
The ASIC announcement said Alafaci's banning would be recorded on ASIC's Financial Advisers Register and noted that he had the right to appeal to the Administrative Appeals Tribunal (AAT) for a review of ASIC's decision.
Recommended for you
Government has introduced a bill to Parliament to legislate the first stream of the QAR reforms.
ASIC now has a 1:1 ratio when it comes to court success in the enforcement of crypto activities and more action is expected as Treasury seeks to introduce a regulatory framework.
A leading governance body has hit out at “specialist interest groups proposing ad hoc law reform” when it comes to reforms of financial services legislation and believes an independent body is needed.
The release of ALRC’s final report into financial services legislation has highlighted financial advice as a “significant” focus as it seeks to reduce costs and help advisers understand their obligations, alongside the Quality of Advice Review.