Director jailed for $1.8m investment fraud
A Tasmanian director has been sentenced to jail for a $1.8 million fraud scheme targeting pensioners.
Anthony (Tony) Keith Silver was sentenced to eight years and six months imprisonment with a non-parole period of 2.5 years.
He was the shadow director of Capital Growth International Club Pty Ltd and All About Property Developments Pty Ltd (the scheme companies), which raised approximately $9 million from investors between 2008 and 2010.
He pleaded guilty to misappropriating $1.815 million from the scheme companies between April 2009 and June 2010 by transferring funds to his personal bank account, making payments to company employees and paying returns to other investors.
Many of the investors were pensioners and were approached to invest in the scheme companies by cold-call telemarketing or word of mouth. Investors were told that their funds would be used to develop property in Tasmania or be pooled and invested in bank term deposits.
Investors were also told they would receive returns of 15-20 per cent per annum on their investments and some were convinced to borrow against their homes to invest with the scheme companies.
The matter was prosecuted by the Commonwealth Director of Public Prosecutions after a referral of a brief of evidence by the Australian Securities and Investments Commission (ASIC).
AUTHOR
Laura Dew
Recommended for you
A relevant provider has received a written direction from the Financial Services and Credit Panel after a superannuation rollover resulted in tax bill of over $200,000 for a client.
Estimates for the calendar year 2024 put the advice industry on track for a loss in adviser numbers as exits offset gains from new entrants.
Adviser Ratings shares five ways that financial advice changed in 2024 with an optimistic outlook for 2025, thanks to the Delivering Better Financial Outcomes legislation.
National advice firm Invest Blue has announced several acquisitions, including the purchase of an estate planning and wealth protection business Lambert Group.
Another "financial adviser"?