The Supreme Court of NSW has handed down final orders further to the judgment delivered against Park Trent Properties Group Pty Ltd (Park Trent) on 15 October 2015 (refer: 15-300MR).
The court made the following orders against Park Trent:
- declarations that Park Trent had unlawfully carried on an unlicensed financial services business for over 5 years by providing advice to clients to purchase investment properties through a self-managed super fund (SMSF); and
- a permanent injunction against Park Trent restraining them from providing unlicensed financial product advice to clients regarding SMSF's.
The orders also require Park Trent to post a notice on its website outlining the orders made against it.
In his judgment, his Honour Acting Justice Sackville said that 'the publication of a notice on its website appropriately recognises the seriousness of Park Trent's contravention and the public interest in bringing Park Trent's conduct to the attention of the community'.
ASIC Commissioner Greg Tanzer said: 'This outcome sends a strong message, that there are serious consequences for property spruikers who break the law by providing unlicensed financial advice.'
Background
ASIC launched legal proceedings in November 2014 against Park Trent who, by the time of the trial in June 2015 had advised over 860 members of the public to establish and switch funds into an SMSF (refer: 14-299MR).
On 15 October 2015, the Supreme Court of NSW found Park Trent had been unlawfully carrying on a financial services business for over 5 years by providing advice to clients to purchase investment properties through a SMSF (refer: 15-300MR).
Editor's note:
On 26 February 2016 Park Trent appealed to the NSW Court of Appeal. A date for the hearing of the appeal has not been listed.
The appeal is scheduled for a directions hearing on 27 April 2016.
Editor's note 2:
On 27 April 2016, the appeal was relisted for a further directions hearing on 23 May 2016.
Editor's note 3:
On 23 May 2016, the appeal was set down for a final hearing for half a day duration on 31 August 2016.
Editor's note 4:
On 5 August 2016, the appeal was re-listed for final hearing on 11 October 2016
Editor's note 5:
On 11 October 2016, Park Trent's appeal was heard by McColl, Gleeson and Leeming JJA in the NSW Court of Appeal. The decision has been reserved.
Editor's note 6:
On 3 November 2016, the Full Court of the Supreme Court of NSW dismissed Park Trent's appeal. (refer: 16-375MR)