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Tuesday 24 September 2013

13-264MR ASIC accepts enforceable undertaking from Melbourne adviser

ASIC has accepted an enforceable undertaking (EU) from Mr James Thomas Banfield, of Vermont South, Victoria, which prevents him from providing financial services for four years.

ASIC’s investigation found that between August to September 2012, Mr Banfield, an authorised representative and director of Lotus Securities Limited, submitted approximately 10-15 change of adviser forms to Netwealth Investments Limited. These forms were submitted on behalf of clients consenting to a transfer from Wealthsure Pty Ltd to Lotus Securities Ltd in circumstances where the clients had not consented to the transfer.

As part of the EU, Mr Banfield has agreed to:

  • relinquish his positions as director, responsible manager and authorised representative of Lotus Securities Limited

  • not to deal with, communicate with or interact with any clients of any Australian financial service licensee or authorised representative in connection with the provision of financial services to clients

  • not to complete, submit or lodge client documentation which involves client authority, client money, powers of attorney and application forms, and

  • complete specified professional development education within 12 months.

ASIC Commissioner Greg Tanzer said, ‘Individuals like Mr Banfield have a responsibility to act honestly and in the best interests of clients at all times. If they do not, we will act to ensure they are not able to provide financial services to consumers.’

Download the enforceable undertaking

Editor's note:

A variation to the original Enforceable Undertaking dated 20 September 2013 was accepted by ASIC on 24 March 2015.

Last updated: 27/03/2015 12:00