Property investment company director sentenced for fraud
A former director of Newcastle-based property investment company Future Management Group Limited, was yesterday sentenced to an effective two-year suspended jail term for fraud.
Wayne O’Brien pleaded guilty in the Sydney District Court in July this year to three charges of fraud and abusing his position as a company director, brought against him by the Australian Securities and Investments Commission.
The charges related to the period February 9, 2001, and November 19, 2003, during which time O’Brien raised funds from investors for proposed property developments in the Newcastle area.
O’Brien was convicted of misappropriating $310,000 of loan money in April 2003 by transferring the funds into a FMGL account to pay various bills and wages, instead of transferring the money into a client’s account as previously arranged.
In addition, he was convicted of dishonestly using his position as a director of FMGL by writing company cheques payable to a false name in 2002-2003.
He was also found to have obtained $100,000 from an investor in January 2003 by providing information about FMGL developments that he knew to be false.
He was sentenced to two years imprisonment in respect of the first charge, 18 months imprisonment in respect of the second charge and two years imprisonment in respect of the third charge.
All sentences, to be served concurrently, were fully suspended upon O’Brien entering into a recognisance to be of good behaviour for five years.
Recommended for you
Australia’s “sophisticated” financial services industry is a magnet for offshore fund managers, according to a global firm.
The latest Morningstar asset manager survey believes ETF providers are likely to retain the market share they have gained from active managers.
Negative market movements, coupled with net outflows, have prompted a near $6 billion decline in Challenger’s funds under management for FY25’s third quarter.
The real estate investment manager has positioned the APAC region for future growth with an internal promotion to the newly created role of deputy head of Asia Pacific.
