Broker to stand trial on ASIC allegations
A former South Australian options adviser and stockbroker was committed to stand trial in the Adelaide Magistrates Court late last week, facing 52 forgery charges relating to the illegal trading of client accounts and use of their assets as collateral.
Neville John Kakoschke of Thorngate, South Australia, denied the allegations which stemmed from an investigation by the Australian Securities and Investments Commission (ASIC).
Kakoschke was employed as an authorised representative of two stockbroking firms - Dicksons and Bell Potter Securities - for several years between 1997 and 2003 when the alleged offences took place.
ASIC claims that between September 13, 2001 and March 11, 2003, Kakoschke forged collateral lodgement forms and used his clients' shares, without their consent, as security for trading on other client accounts and his personal options accounts.
Kakoschke was a representative of Dicksons between July 1997 and June 2002 and was with Bell Potter Securities from June 2002 to April 2003.
According to the regulator, the former broker’s actions deliberately hid risks and as a result some client accounts were traded beyond their personal financial means. ASIC alleges that Kakoschke’s behaviour contributed to these clients sustaining greater losses than they otherwise would have.
Kakoschke pleaded not guilty to all charges and has been remanded on bail to appear in the District Court on April 4.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
