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.
Company has been sold to an US company
ASIC shouldn’t be banning these dodgy operators every year, it should be Daly.
Can you imagine the groups PI cover premiums now ….
Yeah they just went up another $50 a week PER adviser…
Peter Morisson Dowd will be next cab off the rank.
Ian Williams and Paul Rafety should be the ones held accountable not just Paul Nielsen
Don’t forget Mr Daly
I didn’t know there was another Pam Anderson!
Sadly they were warned and warned by their internal staff. Looks like the other directors savagely turned on one of their own. It’s not the first time the great white lion and jabber jaws shifted the blame.
What about the other 3 directors of Linchpin?, two of which received ‘an advantage’ (from client monies!) one being the current Managing Director and Responsible Manager of Beacon, who also received ‘an advantage’ ..source ABC Background Briefing..’The Talented Mr Daly’ . What a web of deceit! ….the poor client’s who invested in their internal, conflicted fund. Will they ever get any of their money back?
My suspicion is that if the funds were used to acquire businesses or feed into the Beacon group, then these are going to evaporate and these people are going to get cents on the $ if lucky.
Is Peter Daly next?