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AFS Group administrators appointed

BDO has been appointed administrator of Australian Financial Services Group (AFS), to facilitate the move of AFS advisers to alternate licensing arrangements.

Rachel Burdett-Baker and Luke Targett of BDO have been appointed administrators of AFS entities AFS Group Limited, Australian Financial Services Limited, MDA Private Pty Ltd and Strategy Portfolio Limited pursuant to Section 436A of the Corporations Act 2001.

“The Group has actively been working with advisers with respect to a transfer to alternate licensees, however this process was unable to be finalised due to the withdrawal of existing financial accommodation,” said a statement from the administrators.

“The effect of our appointment is to place a moratorium on the payment of unsecured creditors’ accounts in relation to trading and other debts incurred up to the date of our appointment, until creditors make a decision about the Group’s future.”

The administrators will now be assessing the financial position of AFS to assess its viability going forward, and will be working closely with regulators and major stakeholders, the statement said.

The appointment follows InvestorDaily’s report in March that the dealer group was facing voluntary administration.