A Sydney-based financial adviser has been permanently banned from providing financial services after it was found she had falsified more than 60 insurance policies in order to collect the ensuing commissions.

Susan Heathwood, of Randwick, was an authorised representative of GuardianFP from April 2005 until May 2011, and an employee of Jalee Consulting Group Pty Ltd (Jalee), also an authorised representative of GuardianFP. She provided financial advice and arranged life insurance.

An ASIC investigation found Ms Heathwood falsified 65 insurance policies between 2010 and 2011 for the purpose of being paid commissions.

The information that was falsified related to personal information about applicants who never asked that insurance be arranged on their behalf. The information included their smoker status, height, weight, the number of alcoholic drinks they consumed per week and their occupations.

The address of each applicant was Ms Heathwood’s own post office box and any telephone number appearing in an application was her mobile number or the former mobile number of her son and her daughter.

The names appearing in the false applications were mostly Ms Heathwood’s current or former clients whose personal details would be changed so as they could not be identified.

Ms Heathwood’s banning reinforces ASIC’s focus on maintaining public confidence in the financial services industry.

Ms Heathwood has the right to apply to the Administrative Appeals Tribunal for a review of ASIC’s decision.

Editor's note:

On October 18 2012 at Downing Centre District Court the matter was adjourned until 9 November 2012 at the same court for sentencing .