ASIC cancels Financial Circle’s licence
The Australian Securities and Investments Commission (ASIC) has cancelled the Australian financial services licence (AFSL) and credit licence of Financial Circle.
The cancellation followed the Federal Court’s finding in October that the firm breached numerous financial service laws and obligations, including engaging in unconscionable conduct and failing to act in its clients’ best interests.
The Court also ordered the firm to pay civil penalties totalling $8,980,000 and to pay the corporate regulator’s fees.
The firm was also listed by the Australian Financial Complaints Authority as being in breach of its licence for failure to declare its membership to the body by the registration date, which was today.
AUTHOR
Anastasia Santoreneos
Recommended for you
The Reserve Bank of Australia (RBA) has lowered rates to a level not seen since mid-2023.
Financial Services Minister Stephen Jones has shared further details on the second tranche of the Delivering Better Financial Outcomes reforms including modernising best interests duty and reforming Statements of Advice.
The Federal Court has found a company director guilty of operating unregistered managed investment schemes and carrying on a financial services business without holding an AFSL.
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
