Powered by MOMENTUM MEDIA
moneymanagement logo
 
 

Former mortgage broker jailed for deception

ASIC/mortgage-broker/jail/fraud/

10 August 2017
| By Malavika |
image
image image
expand image

Former mortgage broker, Michael Samra, has today been sentenced to eight years and nine months imprisonment after pleading guilty to six charges of deception, with a minimum of four years and six months to be served before becoming eligible for parole.

The Australian Securities and Investments Commission (ASIC) alleged that between 1 January 2009 and 31 July 2009, Samra through ALC Group deceived investors to lend money to be on-lent to builders and property developers on a short-term basis, when the monies were in fact not on-lent, and dishonestly benefited the company or another party.

Samra pleaded guilty to six charges of deception totalling $1.902 million and was sentenced at Adelaide District Court.

The firm collapsed in 2009 with liabilities of approximately $40 million. ASIC investigations found that approximately $66 million came into the firm’s bank account over a seven-month period with the majority of funds paid to investors.

Samra appeared before Adelaide Magistrates Court on 12 charges of deception totalling $12 million in 2015 for operating the Ponzi scheme with promises of high returns on investments of up to 48 per cent per annum.

The matter was prosecuted by the Commonwealth Director of Public Prosecutions.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

The succession dilemma is more than just a matter of commitments.This isn’t simply about younger vs. older advisers. It’...

1 week ago

Significant ethical issues there. If a relationship is in the process of breaking down then both parties are likely to b...

1 month ago

It's not licensees not putting them on, it's small businesses (that are licensed) that cannot afford to put them on. The...

1 month 1 week ago

ASIC has released the results of the latest adviser exam, with August’s pass mark improving on the sitting from a year ago. ...

1 week 3 days ago

The inquiry into the collapse of Dixon Advisory and broader wealth management companies by the Senate economics references committee will not be re-adopted. ...

2 weeks 3 days ago

While the profession continues to see consolidation at the top, Adviser Ratings has compared the business models of Insignia and Entireti and how they are shaping the pro...

2 weeks 5 days ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND