The corporate regulator has taken civil action against a duo for allegedly operating a financial services business without an AFSL.
ASIC also alleges that since August 2011, Dr Roger Gareth Munro and Mrs Kathleen Susan Munro had told investors they were generating profits from trading, when documents show they had actually lost the money from trading in Australia.
In addition, ASIC claims the pair raised more than $1.5 million from investors, friends and family for trading purposes, but has failed to keep any, or produce any, books or records to ASIC in relation to this fundraising.
Further, a significant portion of funds, which have been provided to Dr Munro for trading, have ultimately been transferred to a brokerage account in Mrs Munro's name, ASIC said.
Traded funds were then redeemed and transferred into another bank account held by Mrs Munro, the regulator continued.
ASIC's application is listed in the Brisbane Supreme Court on 7 August.
According to The Courier Mail, Dr Munro was once at the centre of a $60 million collapse of two investment schemes. In 2012, ASIC attempted to prosecute Dr Munro but failed after the Commonwealth Director of Public Prosecutions determined there were no reasonable prospects for conviction, the newspaper reported.
SUBSCRIBE TO THE IFA DAILY BULLETIN
- 16 Nov 2018Government sets $51m to pursue misconductBy Eliot Hastie
- 16 Nov 2018The financial advisers most people don’t read aboutBy James Mitchell
- 16 Nov 2018Clients expect advisers to understand their situationBy Eliot Hastie
- 16 Nov 2018Retirees hit hardest by franking credit changes, says FSCBy Sarah Simpkins
- 16 Nov 2018Trust in advice more important than everBy Stephanie Aikins
- 15 Nov 2018We’ll lose advisers through FASEA but it’s necessaryBy Adrian Flores
- view all