The corporate regulator has cancelled a firm’s AFSL after it failed to comply with a number of its key obligations as a financial services licensee.
ASIC found that Lotus Securities Ltd failed to: lodge its financial reports within the required timeframe; lodge compliance plan audits and financial reports for the managed investment schemes it operates within the required timeframe; comply with its financial resource requirements; comply with a Notice issued by ASIC; maintain membership with an external dispute resolution scheme approved by ASIC; and notify ASIC of significant breaches within 10 days.
ASIC Commissioner Greg Tanzer said, "A responsible entity has an important gatekeeper role to ensure a managed investment scheme is operated in accordance with the Corporations Act.
"This is another example that demonstrates we will take action when there is a failure of a responsible entity to perform this gatekeeper role and non-compliance with these key obligations."
Lotus Securities has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.
Lotus Securities AFS licence was cancelled with effect from 26 September 2016.
After Labor has secured a somewhat surprising landslide win in the federal election, the FSC CEO said this will now be a ...
Platform executives are pushing for more advice revenue to be invested in advice tech capabilities, labelling the ...
The licensee said around 80 per cent of eligible Brighter Super members have confirmed they will transition their advice ...
Never miss the stories that impact the industry.
Get the latest news! Subscribe to the ifa bulletin