Deceptive businessman banned for life by ASIC

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Another businessman has been banned for life by ASIC after an investigation found he had engaged in misleading and deceptive conduct to the tune of $555,000 in client funds.
Phillip Gregory Spark of Surfers Paradise in Queensland was a director and officer of CS Heritage Securities Limited - which is now in liquidation - from June 2008, until he filed for bankruptcy in November 2012.
Spark also acted as the solicitor for CS Heritage since its incorporation, and as an authorised representative and project manager of all of its projects until he was removed in February 2012.
The ASIC investigation revealed that the man had made statements to a client that were false and misleading to induce the acquisition of a financial product, when he knew (or should have known) them to be false or misleading.
The false statements related to CS Heritage being the trustee for the Santandar Trust, as well as providing incorrect details about the trust itself.
Spark also engaged in misleading and deceptive conduct by concocting the existence of the trust, and using a name that closely resembled the name of a trust for which CS Heritage was the trustee, being the Santander Trust.
The investigation concluded that Spark was not of good fame or character, and ASIC deputy chairman Peter Kell said this sort of behaviour would not be tolerated.
“Those who engage in misleading and deceptive conduct will be removed from the industry,” he said.
CS Heritage was the holder of an Australian financial services licence and was responsible for several entities that acted as trustees for a number of unregistered managed investment schemes by way of debt funding.
The schemes acted to fund various property developments in Melbourne’s inner suburbs.
CS Heritage reported Spark’s conduct to ASIC in February 2012 in relation to an investment of $555,000.
He now has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.


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