Former Financial Wisdom financial planner Robyn Ann-Carrolle Cochrane has been sentenced to a four-year jail term with a non-parole period of two years.
Australian Securities and Investments Commission (ASIC) chairman David Knott has deemed the sentence of the Central Coast-based former adviser as appropriate.
ASIC’s investigation revealed that between 1994 and 1999 Cochrane redeemed a number of her clients’ investments by forging their signatures on cheques and redemption forms. Cochrane also fraudulently misappropriated money collected from some other clients.
Knott says Cochrane arranged for many of the original documents relating to her client’s investments to be sent directly to her, rather than to her clients. This, Knott says, ensured that her activities remained unchecked until ASIC conducted a targeted surveillance on her business.
Cochrane operated her business, Guardian Independent Investment Centre, from an office in Toukley.
She held an authority to provide investment advice on behalf of licensed securities dealer, Financial Wisdom, during the period August 6, 1993 to January 2, 1998. Financial Wisdom cancelled this authority on January 2, 1998.
Late last year, Cochrane pleaded guilty to 29 fraud charges, as well as one charge of acting as a securities dealer without a licence.
ASIC brought forward Cochrane’s charges, who was then prosecuted by the Commonwealth Director of Public Prosecutions. Judge Job sentenced Cochrane in the NSW District Court.
Cochrane’s sentencing follows $1,118,000 in compensation being paid to former clients of Cochrane by her former securities dealer’s licensees. ASIC assisted in the negotiations between the former clients and the licensees.
In January 2000, Cochrane’s son, Steven Michael Cochrane, was also banned for life from acting as a representative of a securities dealer or investment adviser.
ASIC found he had not performed the duties of a dealer representative efficiently, honestly and fairly, and had breached the duty to his clients in regards to their investments.
