Sydney-based adviser Manouchehr Tivay has been convicted in the Sydney District Court and placed on a two-year good behaviour bond for providing financial advice without a licence.
Forty six year old Tivay was found guilty earlier this year after it was found that neither he nor the company he was working for, Progressive Investments Securities (PIS), held the required financial services licence.
An investigation by the Australian Securities and Investments Commission (ASIC) found that PIS and an affiliated company, Capital Investments Group (CIG), enticed clients to invest in securities known as ORB 1, ORB 2 and OMIP 15-7 through the use of Macquarie Bank investment loans, of which they were required to enter into agreements with the bank of up to $300,000 for each product.
CIG and PIS were placed into liquidation by Macquarie Bank on June 23, 2005, after a number of irregularities were found in the investment loans issued for the products known as ORB and OMIP.
