A licensee has had its AFSL suspended after it failed to comply with a number of key obligations, ASIC has said.
The corporate regulator announced last week it suspended the AFSL of Australia Wealth Capital Group until 3 October 2017.
According to a statement, Australia Wealth failed to establish and maintain compliance measures to ensure the licensee complies with financial services laws.
The group also failed to lodge its financial reports within the required timeframe and did not maintain the competence to provide the financial service under its licence. It also did not notify ASIC of significant breaches with 10 days, the statement said.
Australia Wealth must now satisfy ASIC that it is able to meet all of its compliance and financial reporting requirements in order to have the suspension revoked.
Australia Wealth has the right to appeal the decision to the Administrative Appeals Tribunal.
ASIC commissioner John Price said, “Licensees are required to lodge financial statements and auditor reports with ASIC to demonstrate their capacity to provide financial services.
“Failure to comply with financial reporting and other obligations can be an indicator of poor compliance culture. ASIC won’t hesitate to act against licensees who do not meet these important requirements.”
The corporate regulator said the adviser failed to prioritise his clients’ interests over his own.
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