On 9 May 2018, the Supreme Court of Queensland ordered that three companies associated with Mr Daniel Farook Ali and the unregistered managed investment scheme known as “the Daniel Ali Scheme” be wound up.

The Court has appointed Mr Anthony Castley of William Buck Business Recovery services as receiver of the Scheme and liquidator of the following companies:

• DanFX Trade Pty Ltd (ACN 613 185 345);
• DanFX Investment Holdings Pty Ltd (ACN 614 172 842); and
• D & S Ali Properties Pty Ltd (ACN 614 851 937)

The Court also ordered that any affidavit or report of Mr Castley be made available to the public on ASIC’s website.  A copy of Mr Castley’s affidavit sworn on 29 January 2018 can be found here.

The Court noted that winding up the companies and the Daniel Ali scheme was clearly appropriate.

ASIC commenced proceedings in the Supreme Court of Queensland in November 2017 against Mr Daniel Ali and his related corporate entities (refer: 17-396MR). ASIC alleged that Mr Ali, through his corporate entities, operated an unregistered management investment scheme that had raised approximately $13 million from more than 200 investors.

On 29 January 2018, Mr Castley as the appointed receiver filed an interim report which showed that there was no evidence that sufficient funds existed to repay the investors. ASIC then sought and was granted leave to amend its application to seek the winding up of the entities and the unregistered scheme.

The proceeding against Mr Ali in his personal capacity remains listed for a two-day hearing in the week commencing 23 July 2018.

ASIC’s investigations are ongoing.