Court finds advice group failed to monitor adviser’s conduct

The Federal Group has found that RI Advice Group failed to ensure its former adviser provided appropriate advice to clients and acted in their best interests.

Following an ASIC investigation, the company was found to not have had “adequate” processes in place to ensure if its advisers were avoiding quality checks or recommending non-approved products.

It comes after former adviser John Doyle breached his best interest obligations by giving inappropriate advice while working as a rep for RI Advice between May 2013 and June 2016.

“Financial advice licensees need to understand that they can be liable if their advisers do not act in the best interests of their clients and do not prioritise their clients’ interests over their own,” ASIC deputy chair Sarah Court said.


“ASIC commenced this proceeding because of the harm caused to investors when advice is not appropriate. In some cases, Mr Doyle’s clients were retired, or approaching retirement.

“Licensees need to have proper systems and processes in place to monitor the advice given by advisers to make sure consumers are protected.”

A hearing date for RI Advice and Mr Doyle is yet to be set.

Court finds advice group failed to monitor adviser’s conduct
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