ASIC cancels SA company’s licence
South Australian company First Pacific Securities Australia (FPSA) has had its Australian financial services licence (AFSL) cancelled following an investigation by the Australian Securities and Investments Commission (ASIC).
ASIC found that FPSA, the responsible entity of registered managed investment scheme First Pacific Mortgage & Mezzanine Fund, which pooled investor funds then on lent to borrowers, had not complied with a number of its reporting and financial obligations.
Furthermore, ASIC determined there was reason to believe FPSA would not comply with it Corporation Act obligations as a financial services licensee in the future.
The investigation also discovered FPSA’s application for an AFSL reported a false balance sheet which made it appear to meet its financial obligations to obtain a licence.
The company has the right to appeal ASIC’s decision with the Administrative Appeals Tribunal.
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.
