ASIC has cancelled the credit licence of Melbourne-based Star Alliance Financial Services Pty Ltd (Star Alliance) and banned its director following an investigation.

Mr Prasanna Indrajith Wijesekara, of South Morang, Victoria was permanently banned from engaging in credit activities following concerns over his conduct as a mortgage broker in 2010 and certain statements made in his company’s credit licence application.

The orders to permanently ban Mr Wijesekara and cancel Star Alliance’s credit licence were made on the grounds that:

• Star Alliance’s credit licence application was false in a material particular or materially misleading because it failed to state that the AMP Bank had cancelled Mr Wijesekara accreditation as a broker on 13 May 2010;

• Mr Wijesekara knew, or was reckless as to whether, an answer in Star Alliance’s credit licence application was false in a material particular or materially misleading;

• ASIC had reason to believe that Mr Wijesekara was not a fit and proper person to engage in credit activities on the basis that:

  • he submitted false or misleading information to ASIC; and

  • he provided falsified documents and false or misleading information to the AMP Bank in support of a loan application in 2010.

ASIC Commissioner Peter Kell said, ‘These outcomes demonstrate ASIC’s ongoing commitment to ensuring that only those who meet requisite standards of honesty and integrity are permitted to participate in the consumer credit industry.’

Mr Wijesekara and Star Alliance have the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decisions.