Adviser accused of stealing
An Adelaide-based former authorised representative has been permanently banned from providing financial services, following an investigation that has resulted in he and his wife being charged with 19 counts of theft and one of deception totalling more than $600,000.
The Australian Securities and Investment Commission (ASIC) investigation revealed that Justin Hughes, who operated under the business name Oakbank Insurance Services and controlled two other companies (Hokonui Enterprises and Rangatira Enterprises), failed to remit client insurance premiums of more than $400,000.
According to ASIC, Hughes used the money for personal and business expenses.
Hughes and his companies were authorised representatives of several Australian financial service (AFS) licence holders, all of whom have now terminated the arrangements and honoured affected clients’ insurance policies.
ASIC permanently banned Hughes after determining that he was unlikely to comply with financial services law in future.
Hughes, who worked in financial services for more than 40 years, and his wide Marlene both face criminal charges in the Adelaide Magistrates Court.
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