In February 2020, former Spectrum Wealth Advisers director Mark Schroeder was banned from providing financial services for six years by ASIC for his role in numerous compliance failures.
However, after an appeal of the decision to the Administrative Appeals Tribunal, it was confirmed on Tuesday that the ban has been broadened to Mr Schroeder not being allowed to provide any financial services and performing any function involved in a financial services business, as well as controlling an entity that carries on a financial services business, for six years.
In its decision, the tribunal said “Mr Schroeder was not a fit and proper person to provide financial services, was involved in contraventions of financial services laws by Spectrum, was not adequately trained or competent to manage the provision of financial services and may be involved in the contravention of financial services laws in the future”.
“The decision is a clear reminder to officeholders that they cannot disclaim responsibility for their regulatory obligations and must faithfully, competently, fearlessly and diligently discharge their roles,” ASIC commissioner Danielle Press said on Tuesday.
Following Mr Schroeder’s ban in 2020, ASIC found that Spectrum failed to audit its representatives regularly and ensure that its representatives were adequately trained and competent.
In addition, Spectrum did not have sufficient human and technological resources to meet its licence obligations.
The tribunal noted this week that Spectrum’s failure to monitor and supervise its representatives was “indicative of a culture that promoted growth over compliance”.
If anyone tries to challenge the grip of banks and insurance companies and question their money making practices, then ASIC has to make an example of that person. Unfortunately big 4 will always have advantage to take their competition out by using unethical influence over the industry and politicians.
ASIC needs to protect consumers who are already underinsured and further save them from vertical biased insurance advice from banks and their advisers.
I never got an audit in 2.5 years with AMPFP. Just letting ASIC know.
And yet the two heads of ASIC can incorrectly claim taxpayer money for their own benefit. Didn’t see them being branded not fit and proper. They could easily be back practicing law and/or working for a financial services company and/or for Government. Great grandstanding ASIC.
ASIC are apparently allowed to defame whoever they want; ban whoever they want; or penalise anyone they want without sufficient evidence…and in other cases not understanding the subject matter of what they’re assessing and therefore go with the “we don’t understand, therefore it must be wrong”
Oh dear…
Great decision. 10 years too late.
He has robbed a few people in his time
And sadly will continue
Robbed is an understatement. Lets drain the swamps and make our industry great again
This is why our industry is suffering. WOW, did he think he could get away with getting his ban overturned. Dodgy, very dodgy. Thought jail time may be more appropriate
What a joke. He appealed the decision because ASIC didn’t have anything on him, and then once they realised this, they decided to take over 12 months to make a decision, which felt like a conspiracy, and sure enough, made it worse for him. A good guy who unfortunately will be lost to the industry. Good to see that even if you do the right thing, ASIC can still ban you. What a wonderful headline.
And this is the reason why we have over reaching legislation by asic and we are not trusted. What a joke indeed!!!