The Australian Securities and Investments Commission (ASIC) has moved against the so-called Super Save Superannuation Fund on the basis that it exhibits characteristics of an illegal managed investment scheme.
The regulator announced on Friday that it had acted to protect funds in the Super Save Superannuation Fund (Super Save scheme) following concerns the scheme is illegal.
It said that on Thursday December 13, 2007, the New South Wales Supreme Court ordered the operator of the Super Save scheme, Idyllic Solutions Ltd (incorporated in the British Virgin Islands), to pay investments made in the Super Save scheme, which ASIC believes to be $6,997,666.19, to the court.
ASIC said it believed this represented the amount invested in the Super Save scheme by Australian investors.
It said Idyllic Solutions had also been ordered by the court to place notices in the Daily Telegraph and The Age newspapers on or before December 19, 2007, (and on one further date a week later) alerting investors to the orders of the court.
The orders obtained by ASIC last week follow earlier interim orders obtained on December 5 freezing a number of bank accounts held in the name of the following companies and individuals involved in the Super Save scheme: P.J.C.B. International Limited, 888 Management Inc, Idyllic Solutions Ltd and Mr Brian John Wood (the defendants).
ASIC said it was of the view that the Super Save scheme has the characteristics of an illegal managed investment scheme, and that representations made about the performance of the Super Save scheme, including returns of 3.5 per cent per month, may be false, misleading or deceptive.
The regulator is alleging that investors, who are predominantly based in Sydney and on the South Coast of NSW, have been assisted to set up self-managed superannuation funds (SMSFs) by individuals associated with Idyllic Solutions Ltd.
It said these individuals, including Jimmy Truong, Brian John Wood, Barry Jennings and Con Koutsoukos, do not hold an Australian Financial Services Licence that would allow them to offer investment advice such as setting up SMSFs.
