Former BBY chairman charged
The former executive chairman of failed stockbroker BBY has been charged with aiding, abetting, counselling or procuring BBY’s dishonest conduct in relation to a financial service.
Glenn Alexander Rosewall appeared in Downing Centre Local Court, charged with two offences to sections 1041G and 1311 of the Corporations Act 2001 (Cth) and section 11.2(1) of the Criminal Code (Cth), following an ASIC investigation.
ASIC alleges that between about 1 March 2015 and about 17 May 2015, Rosewall aided, abetted, counselled or procured BBY’s use of $1.95 million of client money to facilitate payment of an unrelated corporate invoice.
Each offence carries a maximum penalty of 10 years’ imprisonment, or a fine of 4,500 penalty units ($765,000) or three times the total value of benefits obtained (or both).
Rosewall is the son of former Australian professional tennis player Ken Rosewall who won eight grand slam tournaments.
The matter was adjourned for further mention on 9 September, and is being prosecuted by the Office of the Director of Public Prosecutions following a referral from ASIC.
BBY was placed into voluntary administration in May 2015 and its AFSL was suspended, then it went into liquidation in June 2015. Its licence was formally cancelled in June 2021.
In June, former chief executive Arunesh Narain Maharaj was also charged with aiding, abetting, counselling or procuring the alleged dishonest conduct of BBY.
In August 2024, former strategy manager Yat Nam was sentenced for aiding and abetting dishonest conduct. Nam was convicted and received an aggregate sentence of two years and six months’ imprisonment to be served as an intensive correction order, including 100 hours of community service.
In June 2023, former head of operations Fiona Mae Bilton was sentenced to imprisonment after she pled guilty to three counts of dishonestly obtaining a financial advantage. She was sentenced to 20 months, which was suspended for three years on the first charge. It imposed a community correction order for three-and-a-half years on the second and third charges, including 380 hours of unpaid community work.
AUTHOR
Laura Dew
Recommended for you
While the last several months have seen increased market volatility, particularly in the US, advisers said there are multiple reasons why there has been an increase in defensive asset flows.
Scarcity Partners believes the dynamics playing out in the managed account and outsourced chief investment officer market are “here to stay” based on positive developments in financial advice.
Fidelity International research has revealed Australian investors are significantly more optimistic about the market outlook and feeling more comfortable than their APAC peers, despite ongoing market volatility.
MLC has partnered with TAL and Challenger on a retirement solution, the first in a series of retirement income offerings for advisers to be launched over the next 18 months.
