Banned as planner, operating as accountant
The Australian Securities and Investments Commission (ASIC) has revealed that while it banned a financial planner for misconduct, that same person was allowed to continue to operate as an accountant providing tax advice.
The revelation has been made to a Joint Parliamentary Committee by ASIC deputy chairman, Peter Kell who said that the circumstances were likely to be frustrating for investors who had been impacted by the actions of the planner.
"I understand that one of the frustrations that some of the investors have is that Mr [Peter] Holt is still practising as an accountant," he said. "We can ban him from providing financial services, but if he wants to provide tax advice as an accountant we do not have the ability to ban him from that."
"My understanding is that the CPA and the Tax Practitioners Board considered the matter and decided that there was no reason to limit the way he operates."
A Senator had earlier told Kell that the planner in question was "supposed to be bankrupt but is still driving a big Mercedes, still operates his business and is in partnership and still lives in his sprawling home".
"It is very concerning, isn't it?" the Senator said.
Recommended for you
ASIC has issued infringement notices to two AFSLs over financial advisers providing personal advice while they were unregistered.
Australian retirees could increase their projected annual incomes by as much as 51 per cent through comprehensive financial advice, according to a Vanguard study, but cost continues to be an issue.
AMP has announced a senior appointment to its North leadership team, reinforcing the firm’s commitment to the advice industry.
Despite the financial adviser exam being rooted in ethics, two professional year advisers believe the lack of support and transparency from the regulator around the exam is unethical.
