Craig Gore found guilty of six counts of fraud
Queensland property developer Craig Gore has been found guilty of six counts of self-managed super fund (SMSF) fraud totalling $345,000.
In a five-day trial, he was found guilty of five counts and not guilty of five counts plus a further one count was dismissed as the count was dissatisfied that it took place within Queensland.
The penalty for fraud ranged from five to 12 years.
He had initially been arrested in April 2017 for fraud relating to obtaining funds from SMSFs during 2013 and 2014 which totalled $800,000.
The Australian Securities and Investments Commission (ASIC) focused on Gore’s activity obtaining funds through SMSF investors through his role at Arion Financial Pty Investors which were presented with information that they could invest in debentures, with various promises that included guaranteed high returns and that the funds could be returned after a short-term period of investment.
The court found in relation to four SMSF clients, Gore was aware of the poor financial state of Arion at the time representations were made to them and that there was ‘no real prospect’ of Arion repaying the invested amounts or interest.
As well as the fraud case, Gore also faced three charges of acting in management of three corporations whilst being disqualified from doing so. These were a separate case that would be tried on 13 November, 2020.
AUTHOR
Laura Dew
Recommended for you
Government has introduced a bill to Parliament to legislate the first stream of the QAR reforms.
ASIC now has a 1:1 ratio when it comes to court success in the enforcement of crypto activities and more action is expected as Treasury seeks to introduce a regulatory framework.
A leading governance body has hit out at “specialist interest groups proposing ad hoc law reform” when it comes to reforms of financial services legislation and believes an independent body is needed.
The release of ALRC’s final report into financial services legislation has highlighted financial advice as a “significant” focus as it seeks to reduce costs and help advisers understand their obligations, alongside the Quality of Advice Review.
