Centrepoint adviser banned for three years

In a statement issued today, ASIC announced it has banned Ramana Rao of Heathpool, South Australia, from providing financial services for three years because he was “not adequately trained or competent and demonstrated a lack of professionalism, judgement and integrity when advising some of his SMSF clients”.

“ASIC found that Mr Rao had advised one of his clients to obtain financial assistance by drawing out funds from their SMSF where the removal was not permitted by the Superannuation Industry (Supervision) Act 1993 or the SMSF's trust deed,” the statement said.

The corporate regulator also found that Mr Rao had failed to prioritise the interests of a client over his own by recommending that his client's SMSF provide a loan to his business when he knew such an investment was not a sound one.

In both those instances, ASIC found that he failed to give his clients statements of advice.