ASIC has permanently banned Mr Anthony Awkar of Merrylands, New South Wales, from providing financial services after it was found that he forged the signatures of four of his clients.

Mr Awkar was employed by Commonwealth Financial Planning Limited (CFPL) as a financial adviser and authorised representative from May 2008 until his resignation in June 2010. During Mr Awkar’s employment, he was ranked as one of CFPL’s top financial advisers.

Mr Awkar’s banning brings to five the number of actions that ASIC has taken against former CFPL employees.

CFPL is a wholly owned subsidiary of the Commonwealth Bank of Australia (CBA) and operates under the advice structure of Colonial First State, which is also part of the CBA.

‘Mr Awkar’s conduct was at the more serious end of the issues we have seen, which is why he has been permanently banned from the financial services industry’, ASIC Commissioner, Mr Peter Kell, said.

‘ASIC found that Mr Awkar’s conduct was not isolated and did not arise from inadvertence, ignorance or mistake. Rather he behaved in a deliberately dishonest manner on numerous occasions over a period of almost two years and in relation to a number of clients. As a result, ASIC found Mr Awkar not to be a person of good character.

‘This latest action reflects ASIC’s commitment to raising standards across the financial services industry and weeding out financial advisers whose conduct and behaviour undermines the trust and confidence of investors’, Mr Kell said.

Mr Awkar was banned after an ASIC investigation found that he failed to comply with the financial services laws by:

• engaging in dishonest conduct by forging the signatures of four clients on such documents as Statements of Advice, Financial Needs Analysis documents, Applications for financial products and Financial Services Guide receipts;
• inducing another person to deal in a financial product by a dishonest concealment of material facts, notably fee information attached to product advice;
• making false statements which were likely to induce persons to apply for financial products, namely misrepresenting the expected level of return of certain investments products;
• failing to give Statements of Advice to clients; and
• failing to give Product Disclosure Statements to clients.

Mr Awkar inserted fictitious information into Financial Needs Analysis documents relating to clients. In one instance, it stated that the mother of a client had recently passed away when, at that time, she was still alive.

The majority of Mr Awkar’s clients have subsequently been reimbursed by CFPL for any losses arising from his misconduct.

Mr Awkar has the right to appeal to the Administrative Appeals Tribunal to seek a review of ASIC’s decision.

Background

[This part of the media release was withdrawn in accordance with ASIC policy - see INFO 152 Public comment on ASIC's regulatory activities.]

Other financial advisers against whom ASIC has taken action as part of its broader investigation include Don Nguyen (see 11-42AD), Simon Langton (see 12-02AD), [This MR was withdrawn in accordance with ASIC policy - see INFO 152 Public comment on ASIC's regulatory activities.], [This MR was withdrawn in accordance with ASIC policy - see INFO 152 Public comment on ASIC's regulatory activities.].

Former clients of Mr Awkar or clients of other CFPL advisers who feel they may be entitled to compensation should contact CFPL directly on 1800 507 281.

ASIC’s investigation into the conduct of several other former CFPL advisers is continuing.