Melbourne-based cryptocurrency lender Helio Lending Pty Ltd (Helio) has been sentenced to a non-conviction bond for falsely claiming that it held an Australian credit licence (ACL) when it did not.
Helio entered into a recognisance in the sum of $15,000 for a period of 12-months on the condition they are of good behaviour.
Helio falsely represented in a news article appearing on its website in August 2019 that it held an appropriate credit licence, ACL 391330. Helio was neither an ACL holder nor a representative of an ACL holder at the time the statement appeared.
At the time, Helio offered cryptocurrency-backed loans to consumers using the digital currency as security over the loan.
ASIC Deputy Chair Sarah Court said, ‘We expect entities and individuals to provide accurate information to their customers and potential customers. Helio falsely claimed that it held an Australian Credit licence, misleading their customers to believe that they had the protections afforded by such a licence.’
Helio pleaded guilty to the conduct and this was taken into account upon sentencing. A second charge relating to alleged content on the website in February 2019 was withdrawn.
This matter was prosecuted by the Commonwealth Director of Public Prosecutions.
Helio was sentenced under section 19B(1)(d) of the Crimes Act 1914(Cth).
Claiming that you have an ACL if you do not is a breach of section 30 of the National Consumer Credit Protection Act 2009.