ASIC cancels wealth manager’s licence
The Australian Securities and Investments Commission (ASIC) has cancelled the Australian financial services licence of Sydney-based firm Premier Wealth Management Financial Services and banned two directors.
This was because Premier had failed to ensure the services provided met the licence requirements efficiently, honestly and fairly. It also failed to ensure its representatives were adequately trained and competent.
Directors Gerald Cummings and Craig Allen had both been banned from providing financial services, performing any function involved in the carrying on of a financial services business, and controlling an entity that carried a financial services business for five years.
ASIC found that both Cummings and Allen demonstrated prolonged, wide ranging and ongoing incompetence and lacked compliance mentality.
This included non-compliance when providing statements of advice, misleading and deceptive conduct regarding client files and failure to refund clients that had been overcharged.
Premier had held an AFS licence since June 2011.
The cancellation, which was effective from 24 November, 2021, would mean the firm’s licence would remain in effect for 12 months solely for the purposes of maintaining its membership of the Australian Financial Complaints Authority and its obligation to hold professional indemnity insurance cover.
Premier Wealth Management, Allen and Cummings had the right to seek a review of ASIC’s decision by the Administrative Appeals Tribunal.
AUTHOR
Laura Dew
Recommended for you
A third private equity player has emerged in the bidding war to acquire Insignia Financial, rivalling Bain Capital and CC Capital.
The proportion of advisers working at a privately owned licensee rose to 78 per cent in the fourth quarter of 2024 as over 1,000 advisers left a diversified firm.
Advice around a client’s concessional contribution cap was the reason for the latest written direction by the Financial Services and Credit Panel.
The financial advice business has expanded its range of services with the introduction of Apt Wealth Legal Services to meet clients’ evolving needs in estate planning and family law.
