In a statement, ASIC found Mr M D Anamul Amin had been operating an unlicensed foreign exchange business, Vault Market, through a website called ‘www.kiwifxbank.com’.
Justice Brereton of the NSW Supreme Court found the business was operating without a financial services licence from 1 July 2013 to 3 July 2014.
In addition, the court found Vault Market had engaged in misleading and deceptive conduct, including holding itself out as an authorised financial services provider based in Australia.
Mr Armin was banned from providing financial services for eight years and from managing a corporate for five years, while the website has been permanently shut down, the ASIC statement said.
“Mr Amin's preparedness to facilitate the conduct of an unlicensed financial services business, and to participate in extensive misleading and deceptive conduct, manifests a need for protection of the public,” Justice Brereton said.
The action comes as part of a wider ASIC crackdown on unlicensed FX trading, the statement added.
“ASIC has now taken action against five different individuals and/or entities in 2014,” it said. “There are several more investigations on foot.”
ASIC commissioner Greg Tanzer expressed concern over the level of non-compliance in the margin FX industry.
“ASIC will continue to take action against entities and individuals who are not appropriately licensed to provide these services,” he said.
