Responsible Managers Banned – Incorrect Information

ASIC, pursuant to Section 920A of the Corporations Act, banned the Responsible Managers of a Brisbane based company.

The company was a registered training organisation that also held an AFS licence. The company was found to have made misleading and deceptive representations about the performance of a real investment portfolio. It was falsely claimed that returns of sixty (60) per cent per annum were being achieved.

The decision acts as a reminder to Responsible Managers that it is part of their role to ensure that any information provided to investors by the company is factually correct in every respect.

The decision is important because it sends a clear indication that ASIC regards a Responsible Manager as a “person” within the meaning of Section 920A of the Corporations Act.

For more information, please read the ASIC Media Release issued on 8 September 2016:
ASIC cancels AFS license