The Australian Securities and Investments Commission (ASIC) has suspended the Australian Financial Services (AFS) licence of Sydney-based retail over-the-counter derivatives issuer Union Standard International until 23 September.
The licence was suspended under section 915B of the Corporations Act 2001 because Union Standard was under external administration.
On 8 July 2020, Andrew Cummins and Peter Krejci of BRI Ferrier (NSW) Pty Ltd were appointed as administrators of Union Standard.
The regulator said that although it suspended the licence, it used its power under s915H of the Corporations Act to allow the administrators to conduct certain necessary activities under the licence during the suspension period.
This included having in place a dispute resolution scheme and arrangements for compensating retail clients, holding professional indemnity insurance and allowing the termination of existing arrangements with current clients of Union Standard.