Two investment advisers involved in promotion of Wattle Group scheme have been charged with offering illegal investments in the scheme and other breaches of the Corporations Law.
Ian William Snook and Mark Alan Taylor face charges brought against them by the Australian Securities and Investment Commission (ASIC) for allegedly illegally offering investments in the Wattle Group.
The pair were also jointly charged with 57 counts of offering investments in Golconda Resources, the securities business of which they were principles and part owners. ASIC also found that in 1997 and 1998, investment funds received into the Golconda investment scheme for the purposes of a loan to the group were instead invested in the Wattle scheme.
The investment offerings in both the Wattle Group and Golconda Resources breached the Corporations Law as Snook and Taylor did not hold a securities licence for their business as required under the Law.
ASIC also allege Snook and Taylor made or authorised false representations to clients regarding the financial arrangements and history of Golconda Resources.
Last year Snook and Taylor gave enforceable undertakings to ASIC that stated they would not directly or indirectly act as a representative of a dealer or an investment adviser for 10 years. In addition Snook will not carry on a securities business or an investment advice business, also for 10 years.
After receiving the charges, the case has been adjourned to 27 April 2001.
