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Thursday 10 December 2020

20-316MR Former mortgage brokerage company and its director charged with making a false statement to ASIC

Advanced Choice Finance Pty Ltd (ACF), a former Melbourne based mortgage brokerage company, has been charged with one count of knowingly making a false statement in a credit licence annual compliance certificate lodged with ASIC.  Mr Ding Yang, director of ACF, has also been charged with aiding and abetting ACF in making the false statement.

ACF held an Australian credit licence and Mr Yang was the sole fit and proper person and responsible manager on the licence.

ASIC alleges that in or about July 2012 Mr Yang had his lender accreditation with the Bank of Melbourne terminated, and in April 2016 Mr Yang and ACF had their membership with aggregator Connective OSN Pty Ltd terminated.

It is alleged that in January 2017 Mr Yang, on behalf of ACF, completed and lodged a credit licence annual compliance certificate with ASIC in which he falsely certified that none of ACF’s fit and proper people had their accreditation cancelled by a lender or their membership with an aggregator terminated.

The alleged offending is contrary to section 225(3) of the National Consumer Credit Protection Act 2009.

The matter has been adjourned to 3 February 2021 for pleas to be heard in the Melbourne Magistrates Court.

The Commonwealth Director of Public Prosecutions is prosecuting the matter after a referral from ASIC.

Background

Connective OSN Pty Ltd is an aggregator, which provides broker aggregation services.

Australian credit licence holders are required to identify the people involved in the management of their credit businesses, known as fit and proper people.

Credit licence holders are also required to annually lodge a licence compliance certificate with ASIC, in which licensees are required to certify that they are complying with their credit licence obligations. 

Editor's note:

On 03 February 2021, Mr Yang pleaded guilty aiding and abetting ACF in making a false statement. The matter has been adjourned to 13 April 2021 for sentencing.

The ACF matter has been adjourned to 13 April 2021 for a plea hearing in the Melbourne Magistrates Court.

Last updated: 04/02/2021 03:23