Sydney adviser permanently banned
An ex-financial adviser withColonial Financial Serviceshas been permanently banned from acting as a representative of a securities dealer for depositing clients’ funds into his own bank account.
Robert William Thorn of Kings Langley, New South Wales, was an authorised representative of Colonial until June 8 of this year, when he resigned and had his proper authority cancelled. He was also an insurance agent withNorwich Unionuntil his agency agreement was terminated by them in April 2001.
TheAustralian Securities and Investments Commission(ASIC) found that Thorn had misused client funds, provided false information to clients and abused his position of trust.
The watchdog says in February 2000, Thorn advised a client to transfer funds from an investment that he said was not performing well, into another investment bond. The client subsequently gave Thorn authority to transfer $38,250 into a new investment bond. However, Thorn then cancelled this bond and transferred the money into his personal bank account.
Thorn was questioned by the client about the whereabouts of his money. He responded by contacting a friend, who was also a client, and recommended he restructure his investments. This client then gave Thorn a bank cheque for $39,850 which Thorn used to repay the original client.
According to ASIC, the second client has since been repaid his funds.
Recommended for you
Net cash flow on AMP’s platforms saw a substantial jump in the last quarter to $740 million, while its new digital advice offering boosted flows to superannuation and investment.
Insignia Financial has provided an update on the status of its private equity bidders as an initial six-week due diligence period comes to an end.
A judge has detailed how individuals lent as much as $1.1 million each to former financial adviser Anthony Del Vecchio, only learning when they contacted his employer that nothing had ever been invested.
Having rejected the possibility of an IPO, Mason Stevens’ CEO details why the wealth platform went down the PE route and how it intends to accelerate its growth ambitions in financial advice.
