The Full Federal Court of Australia has dismissed former Victorian finance broker Rudy Noel Frugtniet's appeal against his permanent banning from engaging in credit activities.

ASIC permanently banned Mr Frugtniet, a former director of Unique Mortgage Services Pty Ltd (UMS), in July 2014 after it was found he provided misleading information and a lack of full disclosure on a credit licence application. (refer: 14-163MR)

Mr Frugtniet appealed ASIC's decision to the Administrative Appeals Tribunal (AAT) in July 2014. On 6 March 2015, the AAT upheld ASIC's decision to permanently ban Mr Frugtniet from engaging in credit activities owing to his 'dishonest conduct over a prolonged period; his failure to show any real awareness of the nature, extent and significance of that conduct; and a demonstrated disregard for compliance with regulatory requirements'. (refer: 15-049MR)

Mr Frugtniet appealed to the Federal Court for a review of the AAT's decision on 8 April 2015. On 22 August 2016, Mr Frugtniet's appeal was dismissed. (refer: 16-264MR)

Download the Full Federal Court's decision

Editor's note:

On 9 November 2017, Mr Frugtniet applied for special leave to the High Court.

Editor's note 2:

On 17 August 2018, Mr Frugtniet was granted leave to appeal to the High Court.

Editor's note 3:

On 7 February 2019, the High Court heard Mr Frugtniet’s appeal. The decision has been reserved.

Editor's note 4:

On 15 May 2019, High Court of Australia upheld the appeal (refer 19-116MR).

Editor's note 5:

Mr Frugtniet’s application for review of ASIC’s decision was remitted to the AAT and heard between 17 February 2020 and 3 August 2020. The AAT’s decision is reserved.

Editor's note 6:

On 22 February 2022, the AAT varied ASIC's decision to permanently ban Rudy Noel Frugtniet from engaging in credit activities, to permanently prohibiting him from:

• engaging in any credit activities;
• controlling whether alone or in concert with one or more other entities, another person who engages in credit activities; and
• performing any function involved in engaging in credit activities (including as an officer, manager, employee, contractor, or in some other capacity).

Mr Frugtniet retains a right to appeal the AAT’s decision (22-030MR).

Editor's note 7:

On 22 March 2022, Mr Frugtniet filed a Notice of Appeal with the Federal Court of Australia in relation to the decision of the AAT.

Editor's note 8:

On 29 November 2022, the Full Federal Court heard Mr Frugtniet’s appeal. The decision has been reserved.

Editor's note 9:

On 17 February 2023, the Full Court of the Federal Court of Australia dismissed Mr Frugtniet's appeal.