AFSL charged over reporting failures

Odyssey Equity Finance of Keilor East, Victoria, has appeared via legal representatives in the Dandenong Magistrates Court charged with multiple criminal offences relating to financial reporting.

Odyssey, an Australian financial services licensee, has been charged with three counts of failing to lodge a profit and loss statement and balance sheet, and three counts of failing to lodge an auditor’s report with the profit and loss statement and balance sheet.

ASIC alleges that Odyssey failed to lodge the reports for each of the financial years ending 30 June 2020, 2021, and 2022, as required under the Corporations Act.

The matter was adjourned for mention on 7 March 2024 at the Dandenong Magistrates Court.

The matter is being prosecuted by the Commonwealth Director of Public Prosecutions after a brief and referral from ASIC.

The maximum penalty for a body corporate for each failure to lodge a profit and loss statement and balance sheet (s989B(2) of the Corporations Act) is $1,332,000.

The maximum penalty for a body corporate for each failure to lodge an auditor’s report with the profit and loss statement and balance sheet (s989B(3) of the Corporations Act) is $1,332,000.

This is the third recent prosecution of a financial services licensee by ASIC for contravention of s989B of the Corporations Act, following charges laid against APC Securities and Brava Capital on 24 October 2023.

APC Securities, formerly known as McFaddens Securities, and Brava Capital, formerly known as Dayton Way Securities, appeared in the Sydney Downing Centre Local Court on 24 October 2023, charged with three counts of failing to lodge a profit and loss statement and balance sheet, and three counts of failing to lodge an auditor’s report with the profit and loss statement and balance sheet.

ASIC alleges that APC Securities and Brava Capital each failed to lodge their financial accounts and auditor’s report for each of the financial years from 30 June 2020 to 30 June 2022.

Both matters were adjourned to 21 November 2023 for further mention.