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Sydney advice firm enters into EU with ASIC

The corporate regulator has accepted an enforceable undertaking from a Sydney-based AFSL holder after an investigation found concerns about supervision of authorised representatives.

According to an ASIC statement, Sydney-based Spring Financial Group Pty Ltd has entered into an EU, and will appoint an independent consultant to review its business operations and report directly to the regulator.

“ASIC’s investigation into Spring Financial found deficiencies in the group’s compliance measures, including: monitoring and supervision of authorised representatives activities to ensure compliance with the financial services law, and insufficient training processes and education of authorised representatives,” the statement said.

The EU follows ASIC’s ongoing investigation into Spring Financial authorised representative Royale Capital as well as other related entities.

“ASIC is continuing to closely scrutinise licensees’ obligations to demonstrate adequate monitoring and supervision and will not hesitate to take action where we find those practices deficient,” said ASIC acting chairman Greg Tanzer.