Tasmanian planner faces FPA investigation
The Financial Planning Association (FPA) has announced it will hold its own investigation into the conduct of Tasmanian adviser Brendan Moore.
Last week Moore pleaded guilty in the Hobart Magistrates Court to four counts of failure to provide a statement of advice after his activities had been investigated by the Australian Securities and Investments Commission (ASIC).
A spokesperson for the FPA said it was standard practice in relation to an event like this for the association to carry out its own investigation and that this would be the case regardless of the outcome of the regulator’s actions.
“The main reason being is our standards are in some cases a lot higher than ASIC’s. In terms of being a member of the FPA there are certain things you are required to do. There are membership standards which we must ensure haven’t been breached regarding codes of ethics, compliance and professional standards, so our investigation will look into whether these factors have been breached,” the spokesperson said.
If Moore is found to have acted outside of the FPA’s professional standards, and depending on the extremity of the situation, he could face a maximum fine of $20,000 as well as expulsion from the association.
After Moore pleaded guilty to the four charges laid against him, the FPA reiterated its support for ASIC to take action against financial advisers who did not comply with the law.
“The FPA maintains its stance that financial planners must comply with the law and ensure the client’s best interests are foremost in any actions undertaken by a planner,” FPA chief executive officer Kerrie Kelly said.
“ASIC must take action if an adviser is alleged to have broken the law and such action would be fully supported by the FPA,” she added.
However, the FPA was eager to clarify it was supporting the principle of the regulator taking action against advisers who had broken the law as opposed to the specific prosecution of Brendan Moore.
The association refused to comment on the appropriateness or severity of the court sentencing that Moore now faces, including the possibility of a $20,000 fine and loss of his financial services licence.
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