ASIC nets former BRG director
A Sydney company director has pleaded guilty in the Downing Centre local court to five counts of engaging in dishonest conduct in relation to a financial product, the Australian Securities and Investments Commission (ASIC) said yesterday.
Gregory Nathan was the sole director of BRG Corporation Pty Ltd (BRG) when he ran an unregistered managed investment scheme called the BRG Australian Equities Fund (the BRG Fund), ASIC said.
ASIC alleged that from September 2004 to September 2006, Nathan sent reports to investors that falsely stated that the BRG Fund was experiencing positive returns.
ASIC also alleged that Nathan falsely told some investors that the BRG Fund had $22 million under management.
Nathan has previously pleaded guilty to four charges of obtaining money by using false and misleading statements in relation to money he obtained from investors while he managed the BRG Fund, ASIC said.
BRG went into voluntary administration in October of 2006, with investors owed approximately $4 million.
AUTHOR
George Liondis
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