Ex-Genesys AR pleads guilty to dishonesty
A former Queensland financial adviser and director of Genesys Wealth Advisers' authorised representative, Vangrove Financial Planning, has pleaded guilty to dishonestly using his position as a director of the company with the intention of attaining an advantage for someone else.
An investigation by the Australian Securities and Investments Commission (ASIC) found that between 26 June and 12 July, 2012, Andrew Peter Cosgrove created and issued invoices to three Vangrove clients for fees for financial advice provided to them.
The invoices told the clients to make payments to the Cosgrove Investment Trust instead of Genesys, as authorised by the administrator.
Vangrove went into administration on 10 May, 2012. The administrator retained Cosgrove as a consultant of Vangrove during the administration process and authorised him to give advice to its existing clients.
Cosgrove appeared in the Brisbane Magistrates Court on 13 May and pleaded guilty to three charges of breaching his directors' duties. He was discharged without conviction after entering into recognisance for $3,000 on the condition that he would maintain good behaviour for three years.
The matter was prosecuted by the Commonwealth Director of Public Prosecutions.
AUTHOR
Malavika Santhebennur
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