Former Perth adviser sentenced
A former Perth financial adviser has been sentenced for making unauthorised client transactions and engaging in dishonest conduct.
John Wertheimer was convicted and sentenced on 31 January in Perth District Court to a total of 18 months imprisonment to be released forthwith after entering into a recognisance release order in the amount of $5,000 to be of good behaviour for 18 months. He was also fined $5,000 for each of the two offences
He was convicted of one count of providing a financial service on behalf of a person who carries on a financial services business while unauthorised to do so and one count of engaging in dishonest conduct in relation to a financial service.
Between 1 May, 2020 and 21 May, 2020, he made 48 unauthorised transactions on the trading accounts of clients using the Netwealth online trading platform. Between 29 May, 2020 and 22 July, 2020, Wertheimer also lodged five hard copy investment instruction documents with Netwealth, which contained forged signatures, purporting to relay instructions to deal with financial products on behalf of clients.
He was also automatically disqualified from being a company director for five years.
In sentencing, her Honour Judge Gillan noted the persistent nature of Wertheimer’s conduct and the importance of general deterrence for offences of this nature.
Mitigating factors including Mr Wertheimer’s co-operation, early guilty pleas and the fact that he did not personally benefit from the transactions were also taken into account.
The matter was prosecuted by the Commonwealth Director of Public Prosecutions after a referral from the Australian Securities and Investments Commission (ASIC).
AUTHOR
Laura Dew
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ASIC has banned a Queensland adviser from providing financial services for five years after failing to provide appropriate advice that was in the best interest of his clients.
Adviser Register shows he ceased to be a financial adviser in July 2018.
I don't see why he is being referred to as a "former financial adviser" when he wasn't an adviser when committing his crimes in May 2020.
Perhaps you should also mention his occupation before the period he was an adviser.
What is of interest is whether ASIC charged actual advisers (via Frydenberg's great big new ASIC Levy tax) for their prosecution costs.
He must of followed clients instructions just missed form 4 of 5 forms....typically clients say "i'm sick of signing all these forms" Sorry Mr Adviser but the client did sign 4 separate documents saying they wanted to do X or pay Y fee but they missed signing form 5 and you forgot to Dance on 1 leg too.