Director banned for promoting fake fund
ASIC has banned Active Capital Managers' sole director Paul Duncan for four years after he was found to be promoting a non-existent fund.
ASIC took action against Mr Duncan after the regulator found the website of Active Capital Managers made false representations concerning the existence of a fund by the name of ‘Exalt Managed Futures Fund’.
Investigations by ASIC found the fund did not exist “nor was it ever in existence”.
The website was also found to give the impression the fund was fully regulated and was trading at low risk while generating high returns, ASIC said.
“The law requires that financial products and services be offered by licensed businesses and that the promotion and advertising of financial products does not mislead or deceive investors,” ASIC commissioner Greg Tanzer said.
“ASIC will act to remove any individuals or companies from the financial services that do not abide by these obligations,” he said.
Mr Duncan has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.
Regulators lose again to major institutions
The prudential regulator has been unsuccessful in its attempt to take legal acti...
Sunsuper names new CEO
Industry fund Sunsuper has appointed a new chief executive to lead the fund thr...
Aussie investment banking revenue plunged 27.9%
Activities in Australian investment banking generated US$1.4 billion in the firs...