ASIC has stepped up its involvement with advisers entangled in failed Westpoint mezzanine investment products, handing down harsh penalties to two financial services directors.
The regulator has permanently banned Centro Financial Synergy Group (Centro) director Annemieke De Boer from providing financial services. This is the second major blow for De Boer who in February was struck off as a member of the FPA and fined $47,000.
ASIC’s investigation into De Boer’s businesses dealings began after a number of De Boer and Centro’s clients contacted the regulator as part of ASIC’s Westpoint investigation.
In April this year De Boer was charged by the West Australian police major fraud squad with stealing following a joint investigation conducted by ASIC and the West Australian police.
ASIC has also banned Glenn Davis & Associates director, Glenn Davis, from providing financial services for five years.
An ASIC investigation found that Davis provided inappropriate advice to clients to invest in Westpoint products.
The investigation also found he advised a client to invest in a Westpoint product which was not on the approved product list and another which had been removed from the relevant licensee.
Davis also failed to accurately disclose to clients commissions and payments received. He was also an undischarged bankrupt.
Davis and his company were authorised representatives of Bongiorno Financial Advisers (Aust) Limited and Bongiorno Financial Advisers Pty Ltd (the Licensees).
ASIC has commenced investigations into 13 licensees and 28 authorised representatives who advised on Westpoint products, with 15 banning briefs currently under consideration.
De Boer and Davis both have the right to lodge an application with the Administrative Appeals Tribunal for a review of ASIC’s decision.
Centro Financial Synergy Group is not related to the listed entity, Centro Properties Group.
