MIS promoter gets jail
A Brisbane man has been sentenced to 13 years’ jail after pleading guilty to charges flowing from an Australian Securities and Investments Commission (ASIC) investigation into an unregistered managed investment scheme, Arafura Equities Pty Ltd.
Brett Tony Best, a director of Arafura Equities, plead guilty to one charge of operating an unregistered managed investment scheme, one charge of dishonestly gaining a financial advantage for himself worth $30,000 and six charges of dishonestly gaining a financial advantage for Arafura, totalling $330,000.
The ASIC investigation involved Arafura’s operation and promotion of an illegal managed investment scheme from 2003, which involved the trading of funds on foreign currency markets.
The investigation found that Arafura, Best and the promoters induced 200 clients, primarily located in south-east Queensland, to invest money in the scheme between January 2003 and August 2005.
Two other promoters of the scheme have previously received custodial sentences.
AUTHOR
Mike Taylor
Recommended for you
ASIC has shared the percentage of breach reports related to financial advice in FY24, noting increased reporting by smaller AFSLs.
With less than 5 per cent of Dixon Advisory complaints closed, AFCA has detailed how it is dealing with systemic issues, known as batch matters, through a consistent yet case-by-case approach.
For financial advisers and business owners seeking to run a top advice firm, Adviser Ratings has shared the characteristics of these leaders from top firms focusing on “scale, specialisation and sophistication”.
As Stephen Jones cites the new class of qualified advisers as a way to reduce legislative complexity in advice, the FAAA’s Sarah Abood says its members still have qualms with the idea and its naming.
