The Australian Securities and Investments Commission has permanently banned a Perth-based insurance broker after an investigation found he engaged in misleading and deceptive conduct.
John Andrew Barr, of Darlington, Western Australia, is the thirty-fourth individual banned by ASIC from providing financial services this year. Of that number, 18 have been permanent bannings.
The regulator’s investigation found that from May 2011 to May 2012 Barr fabricated three insurance certificates, an insurance policy schedule and an email purporting to be from an insurance provider. Further, he falsified another email, and made misrepresentations as to cover level.
The potential exposure that his clients faced as a result of his conduct was in excess of $40 million. He also put one client at risk of breaching the terms of its Australian financial services (AFS) licence.
Barr’s then-employer notified the regulator and shared its own internal investigation into his conduct. In a statement, ASIC said it considers this to be a good example of a licensee reporting breaches in line with its obligations, and found that Barr acted independently of his employer.
Deputy chairman of ASIC, Peter Kell, said individuals who work for licensed insurance intermediaries hold a position of trust and are accountable for their actions.
“ASIC will not tolerate this type of behaviour. Those who engage in misleading and deceptive conduct will be removed from the industry,” Kell said.
In permanently banning Barr, ASIC found reason to believe that he was not of good fame or character.
Barr has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.
