Former insurance broker James Sheehan will be added to the conduct regulator’s Banned and Disqualified Persons Register for engaging in dishonest conduct.
The Australian Securities and Investments Commission (ASIC) has also permanently banned the broker from engaging in credit activities.
Sheehan instructed his clients to pay insurance premiums into accounts controlled by him and ultimately misappropriated $300,000.
ASIC added that, after receiving their premiums, he cancelled client invoices, leaving them uninsured and placing both the client and potential third parties at significant risk.
ASIC has banned a director from providing financial advice for 5 years
In addition, for failing to comply with financial services laws on many occasions, ASIC has banned Matthew McCrow for his part in Jade Capital’s false advertising with regards to misleading returns, fees and performance history.
According to ASIC:
Mr McCrow had failed to act in the best interests of his clients or prioritise their interests. Instead, he had recommended MDA strategies without adequately considering his clients’ goals, circumstances and financial situation or the suitability of the strategies he was recommending. ASIC also found that fees and cost disclosures in advice documents provided by Mr McCrow to clients were misleading.
Broker banned for three years
Director of Foster Stockbroking Mark Hinsley has been banned from the industry for three years for conduct around the initial public offering of shares for Reffind Ltd.
The Australian Securities and Investments Commission (ASIC) said that in their investigation they found: