Mortgage broker handed 5-year ban
The Australian Securities and Investments Commission (ASIC) has banned a Sydney-based mortgage broker from engaging in credit activities for five years and cancelled his Australian credit licence.
Following an investigation, the regulator found that Arthur Sperling had engaged in false or misleading conduct between October 2010 and November 2011.
During that period, he submitted 10 home loans applications - which totalled $4.13 million - to four lenders that contained false or misleading information related to the income and employment of the borrowers.
According to ASIC, the employment details of a number of borrowers were described in loan applications as being on a full-time basis when in fact the borrowers had either not worked for the nominated employer or only worked on a contract or casual basis.
At the time, Sperling was the sole director of Tiana Holdings, which held an Australian credit licence, and also traded as Statewide Financial Services.
"Failing to verify information submitted in loan applications blatantly disregards the fundamental principles of engaging in credit activities," ASIC commissioner Peter Kell said.
"Those who do not adhere to their obligations will be removed from the industry."
Sperling has a right to a review of the regulator's decisions by the Administrative Appeals Tribunal.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Far too few wealth managers are capitalising on the opportunity presented by disruptive technology to deliver personalised investment solutions to the mass affluent demographic, according to PwC.
ASX-listed platforms HUB24, Netwealth, and Praemium have used their AGMs to detail how they are using artificial intelligence to improve their processes and the innovative opportunities it presents.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
