Former AMP planner banned
The Australian Securities and Investments Commission (ASIC) has banned a former AMP planner from providing financial services for 18 months.
Tarandeep Singh Aujla from Sydney was an authorised representative of AMP Financial Planning between November 2004 and September 2006, ASIC said.
ASIC found that during that time Aujla recommended to a number of clients that they replace their existing AMP policies with newer ones. ASIC found that in doing so, Aujla breached various sections of the Corporations Act by providing advice that was inappropriate to the client’s personal circumstances and failing to provide clients with Statements of Advice (SOAs).
ASIC found that even where clients were provided with an SOA, the document failed to disclose remuneration information (including commission) and other benefits he and the dealer group would receive.
The ASIC investigation also found that Aujla engaged in misleading or deceptive conduct, by making misleading statements about clients’ existing policies and the fees clients would be charged if they switched to a newer policy. Aujla also inserted false dates on documents signed by clients, ASIC said.
The 10 clients who formed the basis of the investigation have now been compensated by AMP Financial Planning.
Aujla now practices through his own company, A & A Financial Planning. He has the right to apply to the Administrative Appeals Tribunal for a review of ASIC’s decision.
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