Powered by MOMENTUM MEDIA
the adviser logo
Broker

Federal Court dismisses appeal of banned broker

by James Mitchell2 minute read

A former Victorian finance broker's appeal against his permanent ban from engaging in credit activities has been dismissed by the Federal Court of Australia.

ASIC permanently banned Mr Rudy Noel 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.

To continue reading the rest of this article, create a free account
Already have an account? Sign in

In a statement released today, the corporate watchdog said 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'.

According to ASIC, Mr Frugtniet filed an application in the Federal Court for a review of the AAT's decision on 8 April 2015. A hearing was held on 3 December 2015, where Mr Frugtniet represented himself.

"This decision highlights the duty of full disclosure of those wanting to engage in credit activities," ASIC deputy chairman Peter Kell said. "ASIC will take all necessary steps to ensure those who engage in credit activities do so efficiently, honestly and fairly."

Federal Court dismisses appeal of banned broker
banned  x
TheAdviser logo
banned  x

James Mitchell

James Mitchell

AUTHOR

James Mitchell has over eight years’ experience as a financial reporter and is the editor of Wealth and Wellness at Momentum Media.

JOIN THE DISCUSSION

You need to be a member to post comments. Register for free today

MORE FROM THE ADVISER

Glen Lees

Connective announces record settlement figures

Mortgage aggregator Connective has revealed that its brokers settled a record $95.5 billion across its residential,...

READ MORE
charles grover outfund ta zgvq5o

New SME lender launches into broker channel

A new fintech lender, Outfund, is ramping up for growth through the broker channel after having completed a capital...

READ MORE
david bailey afg ta l8ozkr

AFG’s bottom line hit by Volt closure

The ASX-listed company, Australian Finance Group Ltd (ASX: AFG) has confirmed it is set to deliver “strong...

READ MORE
magazine
Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more