David Mario Alafaci was an authorised representative of non-bank dealer group Centra Wealth from July 2014 until January 2016, during which time he “misled” clients about his ability to issue invoices, ASIC said in a statement.
The regulator said Mr Alafaci had issued invoices “contrary to his contractual agreement with Centra and instructing clients to pay fees directly into his personal bank account”.
Mr Alafaci received a financial benefit from this activity at the expense of the licensee, the regulator found, and this conduct caused Centra to “suffer a financial loss”.
After leaving Centra in January 2016, Mr Alafaci was an authorised representative of non-bank dealer group Interprac Financial Planning until December of that same year.
Not surprised – I’ve had to “clean up” a some of his “casualties” a couple of years ago!
Both “Anonymous” and “Really?” are correct – this is piss-weak journalism and misses almost every conceivable, relevant point. ASIC is correct to deal with this (as it involves advice without a licence, once an invoice is issued directly by the adviser rather than the licensee, BUT the deeper issue is probably a contractual one and may point to lax supervision by the licensee. Why/how the reporter failed to deal with the wider issues is interesting – or perhaps just lazy? If the story (as written) stays within the advice community, no harm done, but if this is spread more widely it will damage reputations more than it should. We don’t expect any favours from reporters, but equally, they should know we won’t do them any if this is the best the can manage.
This looks like a contractual breach rather than a financial planning breach? How have the clients been disadvantaged? ASIC is supposed to protect the consumer rather than the dealer group.
New material “Boutique-aligned”. Whisky Tango that IFA Staff Reporter!
I see you have now corrected the article IFA Staff Reporter. Better.