Share trading software promoter cops 5-year ban
The Australian Securities and Investments Commission (ASIC) has banned a Queensland-based businessman for five years following his involvement in the deceptive marketing and selling of share trading software.
Robert Lloyd Wilson, also known as 'Aussie Rob', was a director of Aussie Rob Financial Services, Lifestyle Trader and Lifestyle Investor Services (LIS). He does not hold an Australian financial services licence and is not an authorised representative of an AFS licensee
Before its investigation into Wilson's misleading and deceptive conduct in the promotion of the software, the regulator had imposed an enforceable undertaking on Lifestyle Trader because Wilson's claims of up to 120 per cent annual trading returns were misleading and deceptive.
His promotion of a trading program called Aussie Rob's Lifestyle Trader included red and green lines which were to show 'when to get in and when to get out' of trade involving commodities, stocks, foreign exchange and exchange traded funds.
It was claimed the lines were generated by an algorithm that tracked buyers and sellers in the market and they were not based on moving averages, creating the impression of unrivalled software.
According to ASIC, the lines were generated by an algorithm based on moving averages of closing prices.
Wilson has more recently been promoting fresh currency and share trading ventures, including investment entity Connect Private Wealth and its newsletter providing trade recommendations.
"The public should avoid dealing with anyone promoting investment schemes that promise excessive returns, especially if they involve 'get rich quick' computer trading systems," ASIC Deputy Chairman Peter Kell said.
Further to its investigation, the regulator found that Wilson, as a director of LIS, knowingly made a false statement in a document lodged with ASIC when, as part of an application for the voluntary deregistration of LIS, he said the company had no outstanding liabilities.
In fact, the company owed more $10,000 to a customer following a ruling made by the Financial Services Ombudsman ruling and there were 21 unresolved disputes lodged with FOS claiming total compensation of more than $191,000
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