ASIC suspends licence of Paramatta firm
The Australian Securities and Investments Commission (ASIC) has suspended the Australian financial services licence (AFSL) of Paramatta-based firm, Rural and General Insurance Broking Pty Limited (RGIB), until April, for failing to lodge financial documents.
ASIC's investigation found that RGIB had not lodged financial statements, auditor's reports and auditor's opinions for the financial years ending 20 June 2014 and 30 June 2015.
According to the corporate regulator, this was in breach of its legal obligations under the Corporations Act and its licence conditions.
Subsequently, if they don't lodge the required documents by April, ASIC would consider the cancellation of the licence.
Under its AFSL, RGIB provided general financial product advice and was authorised to deal in general insurance products.
ASIC's deputy chair, Peter Kell, said: "Licensees are required to lodge financial statements with ASIC to demonstrate their capacity to provide financial services.
"Failure to comply with reporting obligations can be an indicator of a poor compliance culture. ASIC won't hesitate to act against licensees who do not meet these important requirements."
RGIB still has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.
ASIC also informed that earlier this year, the former director of RGIB, Timothy Charles Pratten of New South Wales, had been permanently banned from providing financial services and from the financial services industry.
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