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ASIC takes AFSL to court over false claims

The corporate regulator has taken legal action against a Sydney-based boutique firm for claiming on its website that it manages ASIC-approved investments.

In a statement yesterday, ASIC said it has commenced legal action in the Federal Court of Australia against Huntley Management Limited, an AFSL holder and responsible entity of managed investment schemes.

On its website and in a national newspaper, Huntley had claimed that it “acts as a responsible entity, custodian, trustee and/or manager for over 40 managed investment projects approved by the Australia Securities and Investments Commission”.

ASIC said it never approved these investments, but “merely registered” them. Huntley has agreed that the statement is false or misleading, the regulator said.

The court will hear joint submissions from ASIC and Huntley as to the appropriate penalty amounts. The proceedings are listed for a case management hearing on 25 October 2016.