ASIC bans Victorian director
The director of Victorian-based company Ascension Financial Strategies, Charles Grummisch, has been banned from providing financial services for 10 years by the Australian Securities and Investments Commission (ASIC).
ASIC has also cancelled the Australian Financial Services Licence held by Riverfield (trading as Ascension) for failing to comply with financial services law.
Between April 1996 and August 2009, Grummisch advised about 200 clients to invest over $13 million in shares in a Vanuatu company, Ishaya Capital Ltd (previously Oriental Pacific Ltd).
These funds, including self-managed superannuation investments, were transferred via a New Zealand company, Pacific Oriental Investments Ltd, into Australian start-up businesses and property ventures in which Grummisch had an interest.
Clients also invested in the AVT Investor Unit Trust, which holds an interest in Advanced Vehicle Technologies Pty Ltd, of which Grummisch is the sole director.
Based on Grummisch’s conduct, the delegate found that he had not complied with financial services laws and was unlikely to comply with them in the future.
Grummisch and Riverfield Australia have the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.
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.
