The Australian Securities and Investments Commission (ASIC) has banned the director of Global Merces Funds Management, Holly Grofski for six months after she was found to have been involved in Global Merces’ failure to comply with its Australian financial services (AFS) licence conditions.
According to the ASIC’s banning order, Grofski would be prohibited to control, whether alone or together with others, any company or other entity that carried a financial services business until 28 October, 2021.
The regulator also found that Global Merces failed to lodge the compliance plan audit reports for its registered managed investment schemes and its own financial statements and auditors’ reports for the 2018 and 2019 financial years, and failed to replace key persons named on its licence, to meet its and to meet notification requirements.
“The banning of Ms Grofski demonstrates that ASIC will take action against senior management of AFS licensees’ if they fail to ensure that the licensee complies with its obligations under the Corporations Act,” ASIC said in an announcement.
Earlier this month ASIC announced that Grofski would be facing criminal charges in relation to dishonest conduct, one count of providing false information and one count of conduct resulting in falsification of books.
Grofski has the right to seek a review of ASIC’s decision at the Administrative Appeals Tribunal (AAT).