ASIC has reinforced its stance of going after advisers and dealer groups embroiled in the collapse of Westpoint Corporation (Westpoint), with the corporate regulator banning a further three advisers.
Advisers from Bongiorno Financial Advisers (Aust) Limited, Dukes Financial Services Australia and Brighton Hall have all been given bans.
Bongiorno adviser Timothy Keith Harrison of Singleton Heights, New South Wales has been banned from providing financial services for five years.
Harrison was banned after an ASIC investigation found that in 2002 and 2003 he advised clients to invest in promissory notes offered by York Street Mezzanine Pty Ltd, a company associated with Westpoint.
Dukes Financial Services Australia adviser Mark Anthony Corrie, currently of Hong Kong, has been banned from providing financial services for two years.
Corrie was banned after an ASIC investigation found that between 2003 and 2005, he advised clients to invest in promissory notes offered by Bayview Heritgage Mezzanine Pty Ltd and Market Street Mezzanine No.2 Pty Ltd, companies associated with Westpoint Corporation Pty Ltd.
Brighton Hall adviser Leslie Richard Walters of Mandurah, Western Australia has been banned from providing financial services for two years.
Walters was banned after an ASIC investigation found that between 2002 and 2004 he engaged in misleading or deceptive conduct when describing Westpoint products to a client as ‘safe’ and ‘guaranteed by Westpoint assets’.
ASIC announced in November 2007 that it would seek compensation for money lost on behalf of investors in Westpoint.
The corporate regulator has taken legal proceedings against Dukes Financial Services, Masu Financial Management, Strategic Joint Partners, State Trustees Bongiorno Financial Advisers and PIS.
It remains unclear whether ASIC will take action against failed licensees Glenhurst Corporation and Quantum Securities.
Fifteen licensed advisers and two unlicensed advisers who advised on Westpoint products have now been banned.
