ASIC is warning the public not to deal with Shaun Gregory Morgan who is offering unlicensed financial services through a number of websites.
In Australia, the law requires an individual or a business who wants to offer financial services to hold an Australian financial services (AFS) licence.
Mr Morgan does not hold an AFS licence. Companies associated with Mr Morgan - Australian Capital Investment Group Pty Ltd (ACN 169 480 880), and Aussie Prime Securities Pty Ltd (ACN 168 402 177) – also do not hold an AFS licence.
The companies operate the websites:
- www.auscapitalgroup.com
- www.auscap.com
- www.facebook.com.au/auscapitalgroup, and
- www.aussieprimesecurities.com.au
Shaun Gregory Morgan was imprisoned in the United States after pleading guilty to an offence involving fraud in connection with the provision of financial services. Mr Morgan was also ordered to pay restitution.
ASIC Commissioner John Price said, 'Think twice before dealing with Mr Morgan and these companies or using their websites.
'The law offers certain consumer protections only when companies and individuals are licensed by ASIC. Mr Morgan and these companies are not.'
ASIC is also warning the public about a company controlled by Mr Morgan, Auscap Group Holding Pty Ltd (ACN 603 681 072). The company, which was incorporated on 14 January 2015, claims to have a number of subsidiaries of banks in Australia as shareholders. The banks have told ASIC that they do not hold any shares in Auscap Group Holdings Pty Ltd and have no knowledge of Auscap Group Holdings Pty Ltd.
Consumers can check if a company or individual is licensed by searching ASIC’s professional registers.
A copy of the notice can be found on the ASIC Register of Public Warning Notices.
ASIC acknowledges the co-operation of J. P. Morgan, NAB, HSBC and RBS in assisting ASIC with its inquiries.
Background
ASIC’s MoneySmart website explains how scams work, how to identify different scams and what to do if you have been scammed. Most importantly, it tells you how to avoid getting caught up in a scam.
Consumers are advised to watch out for the following warning signs:
- requests to transfer money upfront to an overseas-based account or to a person overseas or requests to pay taxes or fees before a loan can be provided
- repeated telephone calls or emails
- offers of an interest rate substantially lower than what is available from legitimate lenders
- offers of a free period before any repayments have to be made
- the loan provider says that they don’t do any credit checks and they’ll lend money to consumers with past financial problems
- the loan provider pressures consumers to make a quick decision.