Mr Craig Gerard Dangar, a former self-managed superannuation advisor from Sydney, was yesterday sentenced in the NSW District Court, Downing Centre to concurrent suspended sentences of 18 months imprisonment. Dangar pleaded guilty to two charges of obtaining financial advantage by deception, brought by ASIC. He is still to be sentenced separately on a related charge before the Downing Centre Local Court on 11 April 2013.
Charges were brought by ASIC following an investigation into Dangar’s conduct between January 2004 and September 2007, while he was employed to provide superannuation advice to trustees of self-managed superannuation funds and compliance advice to accounting firms.
In July last year Dangar pleaded guilty to obtaining a total financial advantage of $250,000 by recommending that two clients purchase a portion of his shares in Morris Finance Ltd, and misrepresenting the true owner of the shares. He also indicated to one of the clients that the shares were likely to increase in value.
Dangar was only able to purchase the shares in the first place thanks to a loan that he obtained through fraudulent means. He falsely claimed in a document lodged with ASIC to being a director of SMSF Consulting Pty Ltd. It was this document, which stated that Dangar had the authority to take out a charge against the assets of SMSF Consulting, that allowed him to obtain the loan he required to originally purchase his shares in Morris.
ASIC commissioner Peter Kell said ASIC is focused on boosting consumer confidence in the integrity of the self-managed super industry – something that has been waning after major super fund collapses such as Banksia and Trio Capital.
“This case is a reminder to industry participants in the self-managed super space that dishonest conduct will not be tolerated and can lead to criminal conviction,” Kell said.
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