Former Provident Capital director gets banned
The Australian Securities and Investments Commission (ASIC) has banned a former Sydney director of Provident Capital from providing financial services for two years for failing to comply with financial services laws.
Provident's former non-executive director, John Patrick Sweeney, was found to engage in misleading or deceptive conduct in relation to a financial product during September 2010 to March 2012. Sweeney approved Provident Capital's Quarterly Reports and Benchmark Reports issued to ASIC and Australian Executor Trustees Limited.
On 3 July 2012, Provident went into receivership, and had its Australian Financial Services Licence suspended on 15 October 2012, by ASIC. The firm went into liquidation on 24 October 2012.
Earlier this year, the firm's managing director, Michael Roger O'Sullivan, was banned by ASIC from managing corporations for five years, and from providing financial services for seven years.
Provident Capital issued debentures to retail investors through their Fixed Term Investment Portfolio and advanced the debenture funds to third part borrowers, including property developers, on a first mortgage basis.
The firm also operated a mortgage fund under a wholesale facility with Bendigo and Adelaide Bank and two managed investment schemes.
Recommended for you
With the highest number of candidates in a year sitting the latest financial advice exam, a surge of new entrants are expected in the coming weeks, according to Wealth Data.
AMP has launched a range of five diversified index managed portfolios on its North investment platform, targeting a younger client demographic.
An NSW adviser, who advised over 120 clients after falsifying her financial advice exam results, has been permanently banned by ASIC.
ASIC has released the results from the latest financial adviser exam, the first to be run since changes to its structure earlier this year.
