The Australian Securities and Investments Commission (ASIC) has permanently banned a former NSW director of an insurance broking company, Timothy Charles Pratten, from providing financial services and from engaging in credit activities for "dishonestly obtaining a financial advantage from the Commonwealth by deception".
According to ASIC, he was convicted on seven counts following the investigation conducted by the Australian Tax Office (ATO) which found he had failed to declare approximately $5 million of income derived by him during financial years ending 2003 to 2009.
As a result, he was also removed as a company office-holder of Practical Insurance Claims Administration Pty Limited, and Australian financial services licensee, Rural and General Insurance Broking Pty Limited.
On top of this, he was disqualified from managing corporations.
Pratten, who was sentenced to five years' jail with a two-year non-parole period in April, has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decisions.
Under the Corporations Act and National Credit Act, ASIC may ban anyone who is convicted of a fraud offence.