Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

ASIC bans convicted broker

banned  x banned  x
Huntley Mitchell 4 minute read

ASIC has announced it has permanently banned a convicted mortgage broker from the credit and financial services industries.

Mr Shiv Prakash Sahay of Lidcombe, a former credit representative of AHL Investments trading as Aussie Home Loans, was sentenced to 350 hours of community service in July on three charges of making false statements, making false documents and using false documents in home loan applications, according to the regulator.

These statements and documents were contained in loan applications submitted by Mr Sahay for his clients to Bankwest and Suncorp Bank, ASIC said.

“ASIC’s investigation found that between 14 November 2011 and 6 August 2013, Mr Sahay, whilst a credit representative of Aussie Home Loans, made false statements in loan applications and created and used false bank statements for 17 of his clients to attempt to secure home loans totalling approximately $7 million,” the regulator said in May.


“Of the $7 million in loans for which Mr Sahay applied, $4.796 million were approved.

“Ask Consultancy Services, a company controlled and owned by Mr Sahay, received over $5,500 in upfront commissions and then ongoing commissions as a result of Mr Sahay's offending.”

ASIC deputy chair Peter Kell said the regulator’s action against Mr Sahay shows just how serious it is about tackling loan fraud.

“We won't hesitate to take strong action to remove dishonest brokers who falsify loan documents to the detriment of their clients from the industry,” he said.

Aussie Home Loans said in July that it immediately terminated Mr Sahay’s contract in August 2013 after the group’s investigation found “discrepancies and false statements in loan applications”.


“We also informed the Mortgage and Finance Association of Australia, who subsequently terminated his membership of the association,” the statement said.

“We fully cooperated with ASIC in its investigation, and provided supporting documentation and other evidence to assist ASIC in his prosecution.”

Aussie said it understands that all of the loans subject to the discrepancies were eventually approved and no customers were disadvantaged financially as a result of Mr Sahay’s actions.

“Aussie has strict standards of conduct and will not tolerate any infringement of them, as seen from our action regarding this matter,” it said.

[Related: ASIC imposes licence conditions on national brokerage]

ASIC bans convicted broker
banned  x
TheAdviser logo

Are you a new-to-industry broker in the process of growing your business? Then there’s some great news: The Adviser’s New Broker Academy is back in 2021 and will provide you with essential insights into cutting-edge tools, strategies and processes to fast-track to success. Don’t miss your chance to attend. To secure your FREE place, visit newbroker.com.au now!

banned  x


more from the adviser
Greater Bank Newcastle Perm merger

Breaking News

Bank CEO pledges to maintain broker offering following merger

The CEO of Newcastle Permanent has said the lender will continue ...

Money jar

Breaking News

bcu launches $5k cashback offer

The customer-owned bank has released a cashback offer for new and...


Breaking News

RBA makes cash rate call as lockdown drags on

The central bank has delivered its rate decision for August as th...