Stockbroker jailed
A former Adelaide options adviser and stockbroker has been sentenced to two and a half years in prison.
The Australian Securities and Investments Commission (ASIC) alleged that between September 2001 and March 2003, Neville Kakoschke of Thorngate in South Australia forged collateral lodgement forms allowing him to use his clients’ shares, without their consent, as security for trading on other clients’ accounts as well as for his personal options accounts.
This placed client shares worth more than $1 million at risk without their knowledge.
As a result, some of his clients had no further collateral available to enable them to continue options trading.
It was alleged that rather than tell these clients the true situation, Kakoschke forged the third party collateral forms and used this collateral to continue trading on these accounts.
Kakoschke was permanently banned from involvement in the financial services industry by ASIC on June 30, 2004.
Recommended for you
AMP CEO Alexis George has said addressing Australians’ retirement concerns should be "front and centre for policymakers” after its research revealed only half of Australians are confident about their retirement.
LGT Crestone has announced a rebrand, marking a “decisive milestone” following its acquisition of Commonwealth Bank’s high-net-worth financial advisory business in June.
The launch of a low-cost menu for BT Panorama will allow advisers to service a wider range of clients from one platform and potentially run a more profitable business, according to specialist Recep Peker.
Retail investment into private credit funds could surpass that of sophisticated investors, according to ASIC, but the regulator admits it is unsure how and where these individuals are first being introduced to the vehicles.
