ASIC has expelled a former director of Linchpin Capital Group and Endeavour Securities from providing financial services for five years.
The corporate regulator has hit Paul Nielsen with the ban for his role in the operation of managed investment schemes by Linchpin and Endeavour.
In March, ASIC obtained orders in the Federal Court against Linchpin and Endeavour for contravening multiple provisions of the Corporations Act while operating two managed investment schemes, both called ‘Investport Income Opportunity Fund’.
Linchpin, former parent company to Beacon Financial Link Group, had been found to operate without an Australian Financial Services Licence and engage in conduct that was likely to mislead or deceive as well as operate an unlawful managed investment scheme.
The court ordered the winding up of Endeavour, Linchpin and the two Investport Income Opportunity Funds, with Deloitte being appointed as liquidator of the entities.
ASIC found Mr Nielsen’s conduct in approving the investment of money from the Investport Income Opportunity Fund in related entities enacted multiple contraventions of the Corporations Act.
In particular, Mr Nielsen was found to have failed to act in the best interests of the members of the fund as well as using his position as an officer of the companies to gain an advantage for other persons and cause detriment to fund members.
ASIC ruled Mr Nielsen did not understand the importance of the duties of a director to protect members of registered schemes and as a result, his conduct put significant amounts of other people’s money at risk.
The banning order for Mr Nielsen has been publicly recorded on ASIC’s publicly available Banned and Disqualified Register.
The bank has announced the appointment of a financial services high-flyer with m...
AMP has hired the chair of leadership advocacy group Women on Boards as its n...
Aware Super (formerly known as First State Super) has indicated it spent $26 mil...