ASIC obtains injunctions on unlicensed schemes
The Australian Securities and Investments Commission (ASIC) has obtained injunctions against two companies and two men retraining them from raising funds in breach of the Corporations Act.
The NSW Supreme Court injunctions have been taken out against Strategic Alternative Investments Pty Ltd and Colombo Business Services Pty Ltd and Krishnan Rasaratnam and Menaka Rasaratnam.
The injunctions involve allegations that approximately 35 Australian and overseas investors paid significant funds into accounts held with the Commonwealth Bank, ANS and HSBC Bank.
ASIC has applied to the court for the winding up of Strategic Alternatives Investments.
The regulator said it was concerned that the company, its directors and associates did not hold the necessary Australian Financial Services Licence and that investors were provided with information and assurances that were misleading and deceptive.
ASIC investigations are continuing and the matter will return to the Supreme Court on April 28.
AUTHOR
Mike Taylor
Recommended for you
It can be extremely hard to realise the gains from financial advice M&A, according to Peloton Partners’ Rob Jones, and more could be gained from firms looking inward at their own practice.
With platforms reporting their quarterly results, there is a clear divide in the adviser markets they are targeting, according to platform specialist Recep Peker, and which would be right for your clients.
The Federal Court has imposed a $10 million penalty on Macquarie Bank for failing to prevent and control unauthorised fee transactions by third parties including financial advisers.
A financial advice firm has seen a weekly decline of 10 advisers, with all moving to a new licensee, while Centrepoint Alliance continues its “growth story”.
