ASIC cancels WA insurer licence
The Australian Securities and Investments Commission (ASIC) has cancelled the Australian financial services licence (AFSL) of a Western Australian insurance provider over concerns of breaches of various reporting, financial and other financial services licensee obligations.
ASIC cancelled the AFSL of ACI Broking WA and its related companies, including ACI Broking (Vic), Assent Insurance Services, and Aurora Underwriting Agency.
ACI Broking WA and its related entities failed to submit audited financial accounts for financial year 2013 and 2014 within the mandatory timeframe and it also failed to report the breach to ASIC.
ASIC Commissioner, John Price said: "Licensees should have an appropriate compliance culture. ASIC will act to remove companies from the insurance industry that fail to discharge the duties and obligations imposed upon them by the financial services laws."
ACI Broking WA is a 100 per cent owned subsidiary of Australian Consolidated Insurance Limited (ACIL), which is in liquidation. ACIL is 100 per cent owned by Insured Group Ltd, which was delisted from the main board of the New Zealand stock exchange in 2014.
ACI Broking WA and its entities can seek a review of ASIC's decision at the Administrative Appeals Tribunal.
ASIC is continuing its investigations.
AUTHOR
Malavika Santhebennur
Recommended for you
AFCA has confirmed United Global Capital’s membership of the body will not be extended to accept further complaints, avoiding a repeat of the Dixon Advisory scenario.
Three of Australia’s largest financial advice groups have shared their thoughts with Money Management on whether they would include crypto on their approved product lists.
Shadow treasurer Angus Taylor has vowed to introduce a bill to legislate a raft of financial services reforms if the Coalition is elected.
Money Management examines the share price of financial advice licensees over one year to 31 March, with M&A actions in the final quarter having a positive effect for two licensees.
