ASIC revokes Melbourne group’s AFSL
Melbourne-based financial planning firm Halifax Partners has sold its client-base to a risk advice group operating under Perth dealer firm, Wealthsure, after the Australian Securities and Investments Commission (ASIC) cancelled its Australian Financial Services Licence (AFSL) last week.
Halifax director Jason Foote requested that ASIC cancel the company’s AFSL in light of an investigation by the regulator in May that revealed the company contravened the requirements of the Corporations Act 2001, in terms of notifying the regulator as to changes to key persons, responsible officers and authorised representatives.
Melbourne-based risk group John Hopkins Financial Services, an authorised representative of Wealthsure, bought Halifax’s list of 100 financial planning clients for an undisclosed sum.
Halifax, which was an advice firm located in South Melbourne, is now in the process of being wound up after a liquidator was appointed last Monday and its licence formally cancelled on Wednesday.
In its investigation ASIC had been concerned that the state of Halifax’s financial records would affect the ability of the company to comply with its obligations under the Corporations Act and its AFSL in the future.
As a result of Halifax requesting a cancellation of its licence, ASIC will abandon the administrative proceedings it would have taken to suspend or cancel Halifax’s AFSL.
AUTHOR
Craig Phillips
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