ASIC has cancelled the Australian financial services (AFS) licence of Noosaville-based Ferguson No 2 Pty Ltd (Ferguson), previously named 21st Century Investment Services Pty Ltd, for failing to comply with the Corporations Act 2001 and the conditions of its AFS licence.

In particular, ASIC found that Ferguson:

• failed to appoint a registered company auditor

• failed to lodge annual audited financial statements and auditor’s reports

• failed to comply with the obligation to notify ASIC of significant breaches; and

• did not have adequate compliance measures in place to ensure compliance with financial services laws.

Ferguson was licensed to provide general advice and dealing services to retail and wholesale clients in managed investments, securities and superannuation.

ASIC Commissioner Peter Kell said, ‘ASIC uses a number of regulatory remedies to improve and enforce compliance with the laws it regulates, which includes cancelling an AFS licence. The cancellation of Ferguson’s licence demonstrates ASIC’s commitment to ensuring advice industry participants have adequate compliance measures in place and we encourage all AFS licensees to consider whether they need to review and raise their own compliance standards.’

Ferguson has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.