The AFS license of AIE Fiduciary Services has just been cancelled by ASIC following major concerns about how the company was run.
The cancellation comes in response to an application made by AIE that aimed to respond to ASIC’s concerns about the management of the company and its compliance with the AFS licence obligations, in particular, of the monitoring and supervision of certain authorised representatives.
In late February Wealth Professional reported
that ASIC had accepted an enforceable undertaking from AIE former director Manish Babulal Jani of Ryde, New South Wales, which prevented him from managing a corporation for five years.
ASIC’s investigation found that between 18 April and 8 November 2013, Jani failed to uphold a number of general obligations expected of him as the director of an AFS licensee, such as maintaining proper books of account and adequately supervising authorised representatives.
The EU also prevented Jani from having any involvement in financial services for two years.
At the time, ASIC deputy chairman Peter Kell said, “Directors hold a position of trust in any organisation and they must adhere to their obligations. If they do not, ASIC will act to ensure they are removed from the industry”.
AIE, based in Sydney, was previously called The International Securities and Derivatives Group Pty Ltd and provided financial product advice in relation to securities, derivatives and foreign exchange contracts.
ASIC strips financial services company’s license, bans CEO