Dishonest adviser faces decades in jail
A former Adelaide financial adviser has pleaded guilty to 29 dishonesty offences committed when he was a planner, in a matter that the Commonwealth Department of Public Prosecutions has picked up following an investigation by the Australian Securities and Investments Commission (ASIC).
The regulator alleged that James Gibbs, then a planner and director at James Gibbs Investments, stole approximately $4.88 million of funds that he was managing for his clients between 20 August, 2009 and 30 July, 2016.
Several of these clients had self-managed superannuation funds (SMSFs), which Gibbs was able to access via client bank accounts.
It also alleged that from 25 June, 2012 to 30 July, 2016, Gibbs created and used false documents, such as banking documents and member statements.
Gibbs would now face a maximum penalty of 10 years imprisonment for each offence committed before May 2012, and 15 years for each one after, when the matter appeared in the committal court at the end of this month. He pleaded guilty to all offences in the Adelaide Magistrates Court last Friday and was granted bail until his committal.
AUTHOR
Hannah Wootton
Recommended for you
Digital advice tools are on the rise, but licensees will need to ensure they still meet adviser obligations or potentially risk a class action if clients lose money from a rogue algorithm.
Shaw and Partners has merged with Sydney wealth manager Kennedy Partners Wealth, while Ord Minnett has hired a private wealth adviser from Morgan Stanley.
Australian investors are more confident than their APAC peers in reaching their financial goals and are targeting annual gains of more than 10 per cent, according to Fidelity International.
Zenith Investment Partners has lost its head of portfolio solutions Steven Tang after 17 years with the firm, the latest in a series of senior exits from the research house.
