ASIC bans member of Romad Financial Services for four years
The Australian Securities and Investments Commission (ASIC) has banned Rory Mor Macleod Deutsch from providing financial services for four years following an investigation.
Deutsch has been an authorised representative of Romad Financial Services, and the responsible manager and key person of Romad's Australian financial services licence (AFSL) since June 2004, the commission stated.
ASIC's investigation found that Deutsch failed to comply with financial services laws between 1 April 2009 and 28 April 2011.
These failures to comply included issuing interests in two unregistered managed investment schemes without holding an AFSL or being authorised under Romad's AFSL or any other AFS licensee to issue interests in managed investment schemes, ASIC's investigation found. Deutsch was also found to engage in conduct in relation to a financial product or service that was misleading or deceptive, or was likely to mislead or deceive retail investors.
Deutsch's banning follows action taken by ASIC to cancel Romad's AFSL on 19 October. Romad was subsequently granted an order by the Administrative Appeals Tribunal on 28 October to stay the cancellation until determination of a review of ASIC's decision, the regulatory body stated.
The conditions of the stay stipulate that Romad is barred from authorising any new authorised representatives; current authorised representatives must not engage any new clients; Romad must maintain its professional indemnity insurance; and the insurer must be made aware of any complaints made against it.
Recommended for you
Financial Services Minister, Stephen Jones, has assured the cost and time to enter the financial advice profession will soon be halved, as shadow treasurer Angus Taylor pledges to reach 30,000 advisers.
The positive results of the latest financial adviser exam have helped the advice profession reach 15,600 yet again, according to Wealth Data analysis.
Financial advice firms have told Adviser Ratings they are planning to increase their compliance spend by almost a third, including on enhancements to their cyber security which ASIC has identified as an enforcement priority.
The digital advice platform is officially launching into the financial advice sector, offering up its services to practices as a means of engaging with the next generation of clients.
