Fee-for-no-service breaches see licensee director banned

Brendan Rodwell was a director at Crown Wealth Group, but ASIC said it had reason to believe he was not adequately trained or competent to perform functions in or control a financial services business after failing to adequately address fees-for-no-service (FFNS) conduct by Lighthouse Partners, one of Crown Wealth’s representatives.

Lighthouse Partners was a corporate authorised representative of Crown Wealth Group between 16 August 2018 and 4 April 2023. On 13 March 2024, ASIC cancelled Crown Wealth Group’s Australian Financial Services Licence after it was placed into voluntary administration.

ASIC said it was satisfied that Rodwell’s conduct was the “result of carelessness and inadvertence rather than a deliberate course of action to conceal or disregard the FFNS conduct”.

He has been banned from performing any function involved in carrying on a financial services business, and from controlling an entity that carries on a financial services business, for two years.

More specifically, ASIC found that Rodwell, as a director of Crown Wealth:

• Failed to take proactive steps to ensure Crown Wealth complied with its obligation to report the FFNS conduct to ASIC as a reportable situation within 30 days after becoming aware of it. Crown Wealth did not lodge a reportable situation with ASIC until six months after becoming aware of the FFNS conduct.
• Did not take adequate steps to confirm that the FFNS conduct was properly investigated and affected clients were properly remediated.
• Took a misguided approach that he could remain within his perceived operational responsibilities (which did not involve direct client contact or the provision of financial advice) rather than involve himself in the compliance and reporting obligations of Crown Wealth, and that his inaction and inattentiveness to these obligations were a serious lapse in judgement.
• Demonstrated a lack of professionalism and competence, and a failure to act with the diligence expected of a director of a financial services licensee.

The banning took effect from 23 October 2025 and has been recorded on ASIC’s banned and disqualified register.

He has the right to appeal to the Administrative Review Tribunal for a review of ASIC’s decision.

This is the fourth individual action taken in regard to Crown Wealth and Lighthouse Partners.

In July, ASIC announced it had banned director, shareholder and financial adviser of Lighthouse Partners Kiriley Roper (also known as Kiriley Suckling) from providing financial services for 10 years.

The regulator also banned Andrew Moore, who was previously a director, responsible manager and head of compliance at Crown Wealth Group, for three years.

Earlier this month, ASIC banned former Lighthouse Partners financial adviser and director Timothy Archibald from providing financial services for 10 years.