ASIC has suspended the Australian financial services (AFS) licences of Sydney-based financial services providers Theta Asset Management Ltd and Valuestream Investment Management Ltd until 21 July 2020.

The licences were suspended because the two entities are under external administration.

The entities may apply to the Administrative Appeals Tribunal (AAT) for a review of ASIC’s decision.

On 13 December 2019, Christopher Darin and Mervyn Kitay of Worrells Solvency & Forensic Accounting were appointed as administrators of both Theta Asset Management Ltd and Valuestream Investment Management Limited. For further information about the administration and what this means for investors please refer to: http://www.worrells.net.au. 

Background

Theta Asset Management Ltd is the holder of AFS licence no. 230920. Valuestream Investment Management Limited is the holder of AFS licence no. 246621.

Although ASIC has suspended the licences, it has used its power under s915H of the Corporations Act to allow the administrators to conduct certain necessary activities under the licences during the administration.

Theta Asset Management Ltd is the responsible entity for Sterling Income Trust (Key Matters – Sterling Income Trust). On 11 December 2019, ASIC commenced action against Theta Asset Management Ltd in the Federal Court in Western Australia focussed on the promotion and management of the Sterling Income Trust (Refer 19-347MR).