The regulator has censured two Victorian financial advisers for a range of offences. The Australian Securities and Investments Commission (ASIC) banned Simon Turudia from providing financial services for six years after he arranged the unlawful early release of approximately $1.7 million of superannuation benefits.
ASIC found that Turudia, a former authorised representative of AMP Financial Planning, arranged the early release of superannuation benefits to 35 clients between August 2010 and November 2011.
He established investment accounts for clients into which their superannuation benefits were paid and subsequently withdrawn by clients when required.
ASIC found that Turudia engaged in misleading and deceptive conduct by manipulating rollover-request procedures allowing his clients early access to their superannuation savings.
“Those who seek to promote and benefit from unlawful early release of superannuation schemes have no place in the financial services industry,” said ASIC Commissioner Peter Kell.
The watchdog was alerted to Turudia’s conduct by AMP in January 2012, by which time AMP had revoked his status as an authorised representative.
He has the right to lodge an application with the Administrative Appeals Tribunal for a review of ASIC’s decision.
A halt to Holt
The regulator has also banned Peter Raymond Holt, of Balwyn North, Victoria, from providing financial services for three years after he failed to comply with numerous financial-services laws.
Holt was a director and authorised representative of Holt Norman & Co and the responsible officer of Holt Norman & Co’s Australian financial services (AFS) licence.
ASIC cancelled the AFS licence of Holt Norman & Co on September 19, 2012.
The regulator found that Holt failed to have a reasonable basis for the advice he gave to retail clients. Further, he failed to meet his disclosure obligations to disclose the costs and benefits that may be lost in switching a clients’ superannuation and failed to ensure the business maintained professional indemnity insurance.
“Those who provide financial advice must comply with all aspects of these laws, and, if they do not, ASIC will not hesitate in removing them from the industry,” said Kell.
Holt has the right to appeal to the AAT for a review of ASIC’s decision.
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