Advisers jailed over misconduct
Enforcement activities by the Australian Securities and Investments Commission (ASIC), have resulted in three advisers being jailed in the first half of 2015, two of whom were released on good behaviour bonds.
In its enforcement report for the first half of the year, the regulator revealed it commenced 136 investigations since 1 January 2015, with 25 people being banned from the financial services and credit industries, and 10 individuals being charged on a total of 82 criminal charges.
ASIC said it has completed 137 investigations, accepting six enforceable undertakings, and disqualified 19 company directors for breaches of the law.
As previously reported by Money Management, former authorised representative of ANZ-owned Millenium3, Melinda Scott, was sentenced to six years and three months after pleading guilty to defrauding 157 clients of more than $5.9 million over a 20-year-period.
While former Gold Coast financial planner, Ian John Weaver, was convicted of three counts of failing to have a reasonable basis for providing clients advice, and a fourth charge of making a false or misleading statement, leading to a 12 month sentence.
The 70-year-old was an authorised representative of Enhance Capital Pty Ltd and The Salibury Group Pty Ltd between January 2003 and June 2010, was conditionally released upon entering a good behaviour bond for two years.
South Australian, Barry David Hassell, a former director of BD & WJ Hassell, pleaded guilty to 39 charges at a hearing of Adelaide Magistrates Court in October 2014, receiving a 12-month prison sentence in June 2015, but was released on his own recognisance of $100, to be of good behaviour for a period of 12 months.
The ASIC report also noted that Brisbane-based adviser, Lee Robert Robin had been permanently banned from providing financial services for engaging in misleading or deceptive conduct, as was Lewis Fellowes, while Commonwealth Financial Planning Limited employee, Rebecca Locksley received an 18-month ban for creating false documents for client files.
AUTHOR
Nicholas O'Donoghue
Recommended for you
Results are out for the latest sitting of the ASIC financial advice exam, with the pass rate falling for the second consecutive sitting.
Adviser losses for the end of June have come in 143 per cent higher than the same period last year, and bring the total June loss to over 350.
ASIC’s enforcement action is having an active start to the new financial year, banning a former Queensland financial adviser for 10 years in relation to fees for no service conduct.
ASIC has confirmed the industry funding levy for the 2024–25 financial year, and how much licensees can expect to pay.
