ASIC takes civil action against two for unlicensed financial services business
ASIC has commenced civil proceedings in the Supreme Court of Queensland against Dr Roger Gareth Munro and Mrs Kathleen Susan Munro. ASIC is seeking declarations and other orders in relation to their conduct, which ASIC alleges would constitute carrying on a financial services business in Australia without an Australian Financial Services (AFS) licence.
ASIC alleges that since August 2011, Dr Munro has, with the assistance of Mrs Munro, operated an unlicensed financial services business in Australia. ASIC also alleges that:
- Dr Munro continues to tell investors he is generating profits from trading, when documents obtained by ASIC identify that Dr Munro appears to have lost money from trading in Australia.
- Dr Munro has raised over $1.5 million from investors, friends and family for trading purposes, but has failed to keep any, or produce any, books or records to ASIC in relation to this fundraising.
- a significant portion of funds which have been provided to Dr Munro for trading have ultimately been transferred to a brokerage account in Mrs Munro’s name, for trading – traded funds are then redeemed and transferred into another bank account held by Mrs Munro.
ASIC has sought a declaration that Dr Munro has been carrying on a financial services business without holding an AFS licence. ASIC has also sought a declaration that Mrs Munro has either been carrying on a financial services business without holding an AFS licence, or aided or abetted Dr Munro to do so.
ASIC has sought orders which:
- restrain Dr Munro and Mrs Munro from carrying on a financial services business in Australia, without holding an AFS licence
- restrain Dr Munro and Mrs Munro from disposing of or dealing with investor funds
- restrain Dr Munro from operating certain bank accounts and trading accounts
- restrain Mrs Munro from providing any aid or assistance to Dr Munro in carrying on a financial service business
- restrain Mrs Munro from allowing Dr Munro to use or operate certain bank accounts in her name
- direct Dr Munro to provide ASIC with information about his fundraising activities and the location of investor funds.
ASIC’s application is listed in the Brisbane Supreme Court on 7 August 2015.
Source: ASIC
