ASIC said in a statement that it was concerned about how Kaz Capital monitors its advisers and whether it meets its compliance obligations under the Corporations Act.
As a result of ASIC’s enquiries, Kaz engaged an external consultant to review its compliance framework and provide recommendations for remediation.
Further, Kaz has advised ASIC that these recommendations have been implemented.
The additional licence conditions imposed by ASIC will require Kaz to appoint an independent expert to review the effectiveness of Kaz’s implementation of the recommendations ensuring they have been implemented in full, are operating effectively and whether any further action is necessary.
“Licensees must have an adequate and appropriate compliance framework to govern the monitoring and supervision of their representatives,” said ASIC commissioner Cathie Armour.
“We expect all licensees to comply with this and will monitor their compliance closely.”
The independent expert will report to both ASIC and Kaz in June 2019.
The cost of the external is going to determine the outcome of Kaz survival..unfortunately, it is going to be a futile exercise and perhaps Kaz, like other independents that thought they would yield to the pressure and show ASIC that they are corperating, will add to ASIC’s stats of ” they got rid of another one” wish you all the very best Kaz,
Yawn. So in other words, Kaz did not have a checklist of some description to satisfy ASICs requirements and they then got appointed an “external former ASIC employee” to review their systems and procedures at Kaz’s own cost. Furthermore, the ex-ASIC employee now profits handsomely from their ASIC referrals which allows them to charge through the nose as an arms length consultant.
all we are seeing are small players again. 2019 will see more small players land up out of business. asic only seems to target small players.
Sorry, it’s been said before, but I’ll say it again. Funny how ASIC looked the other way when it came to the banks lack of compliance obligations under the Corporations Act.
I wonder if ASIC will allow KAZ Capital to draft their own press release? Hmmm, probably not.
Yay ASIC!