Sixth Commonwealth Financial Planning adviser banned
In the latest outcome of its investigation into Commonwealth Financial Planning, the Australian Securities and Investments Commission (ASIC) has accepted an enforceable undertaking (EU) from former Commonwealth FP employee Joe Chan.
ASIC was concerned that between 20 December 2006 and 1 October 2010 Chan had falsely classified client files, encouraged clients to purchase insurance by advising them that he would waive the adviser service fee, and provided false information in statement of advice documents.
At the time, Chan was the servicing planner for former Commonwealth Financial Planning adviser Don Nguyen, whom ASIC banned from providing financial services for seven years in March 2010.
Under the EU, Chan has agreed not to provide financial services in any capacity for a minimum of two years, and must adhere to strict supervision requirements for six months should he decide to re-enter the financial services industry.
The action against Chan is the latest in a string of decisions since the regulator accepted an EU from Commonwealth Financial Planning on 25 October 2011 requiring the company to review its risk management framework and address deficiencies.
A month ago, ASIC banned former Commonwealth Financial Planning adviser Jane Duncan for three years, while Anthony Awkar was permanently banned after an investigation found that he had forged the signatures of four of his clients, along with conducting other dishonest activities.
In April Christopher Baker was banned for five years and in January Simon Langton was banned for two years.
In total ASIC has accepted enforceable undertakings from six former Commonwealth Financial Planning advisers, including Chan.
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