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Adviser gets life ban for ‘tombstoning’

A Sydney financial adviser has been permanently banned after he was found to have submitted falsified documents to earn commissions.

Mr Pavan Vyas, of West Pennant Hills, was an authorised representative of financial advisory companies Lionsgate Financial Group Pty Ltd and HNW Planning Pty Ltd at the time of the offences, according to the Australian Securities and Investments Commission.

ASIC said Mr Vyas earned commissions by using the names of non-existent people and others on 12 applications for life insurance policies, and also submitted three further applications in the names of friends without their knowledge.

The ‘tombstoning’ practice refers to insurance brokers submitting applications in the names of dead or fictitious people.

ASIC said Mr Vyas completed other bogus documents to hide the conduct, including variations to the insurance applications and falsified emails from the fictitious clients.

Mr Vyas has the right to appeal to the Administrative Appeals Tribunal.