ASIC charges on unlawful fundraising
A company director who allegedly raised in excess of $1.3 million by offering securities for sale without a disclosure document is facing Federal Court action brought by the Australian Securities and Investments Commission (ASIC).
The regulator announced that the man, John Christopher Knorr, who is a director of SISS Business Systems is facing charges in the Federal Court in Melbourne to prevent both he and the company from undertaking unlawful fund raising.
ASIC said it would be alleged that SISS had unlawfully raised in excess of $1.3 million by offering securities for sale without a disclosure document, in breach of the Corporations Act.
It said the matter was scheduled to return to court on October 20, at which time it was likely orders would be made to schedule another hearing of the matter, including declarations by ASIC that SISS and Knorr contravened various provisions of the Corporations Act and the ASIC Act.
ASIC said on October 6 SISS and Knorr had provided an undertaking to the court that they would not make or offer securities, or distribute an application form for an offer of securities.
AUTHOR
Mike Taylor
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