ASIC has cancelled two Australian financial services licences (AFS licence) and 11 Australian credit licences (collectively, the Licensees).
The Licensees were required by law to be a member of the Australian Financial Complaints Authority (AFCA). AFCA membership gives consumers access to a free, fair, and independent dispute resolution scheme if a complaint cannot be resolved internally by a Licensee.
ASIC works with AFCA to identify AFS licence and credit licence holders that do not comply with their obligation to maintain their AFCA membership.
If an entity is expelled from the scheme or requests to withdraw membership, AFCA must notify ASIC. Where an entity fails to comply, or is otherwise in breach of general conduct obligations, ASIC will continue to take action to cancel AFS licence or credit licences.
The Licensees have, varyingly:
- failed to be a member of AFCA
- failed to lodge annual compliance certificates on time (credit licence holders)
- failed to prepare and lodge an annual profit and loss statement and balance sheet (AFS licence holders)
- failed to comply with a condition on the licence
- failed to pay industry funding levies owed to ASIC
- ceased to carry on a financial services business (AFS licence holders), and/or
- ceased to engage in credit activities (credit licence holders).
In the period 4 July 2024 and 10 July 2024, ASIC cancelled the AFS licences of:
- Colleen Hennequin ABN 67 456 235 051(AFS licence 486117)Licence cancelled 4 July 2024
- Aretean Pty Ltd ACN 159 826 114 (AFS licence number 460754). Licence cancelled 10 July 2024
In the period 6 June 2024 and 16 September 2024, ASIC cancelled the credit licences of:
- George Frossinos (credit licence number 391981). Licence cancelled 20 August 2024.
- J F Consultancy and Investments Pty Ltd ACN 119 365 605 (credit licence number 392778). Licence cancelled 22 August 2024.
- Aspirepay Pty Ltd ACN 628 508 930 (credit licence number 511877). Licence cancelled 22 August 2024.
- The Finmark Group Pty Ltd ACN 000 710 029 (credit licence number 391404). Licence cancelled 28 August 2024.
- Fast Track Finance Group Pty Ltd ACN 085 407 512 (credit licence number 383791). Licence cancelled 29 August 2024.
- Supreme Funding Pty Ltd ACN 114 525 094 (credit licence number 389728). Licence cancelled 2 September 2024.
- Julie Kruger (credit licence number 392085). Licence cancelled 6 September 2024.
- Indra Tengara (credit licence number 512598). Licence cancelled 9 September 2024.
- Yeung Cheng (credit licence number 387485). Licence cancelled 11 September 2024.
- Danielle Hobbs (credit licence number 443478). Licence cancelled 11 September 2024.
- Elancorp Pty Ltd ACN 096 634 561 (credit licence number 386741). Licence cancelled 16 September 2024.
Background
Under section 915C of the Corporations Act, ASIC has the power to cancel an AFS licence if an AFS licence holder has not complied with its obligations under section 912A of the Corporations Act. This includes the obligation to:
- be a member of AFCA
- to comply with conditions on the licence, for example, the condition to require the AFS licence holder to lodge an opinion by a registered auditor on the AFS licence holder’s compliance with the financial requirements, and
- to comply with the financial services laws, including section 989B of the Corporations Act to prepare and lodge an annual profit and loss statement and balance sheet.
Under section 55 of the Credit Act, ASIC has the power to cancel a credit licence if a credit licence holder has contravened its general conduct obligations under section 47. This includes the obligation to be a member of AFCA and the obligation to comply with the credit legislation. Section 53(1) of the Credit Act outlines the obligation to lodge an ACC and is defined as credit legislation in section 5 of the Credit Act.
Under section 54(1)(d) of the Credit Act, ASIC may cancel a credit licence if the levies and late payment penalties relating to those levies have not been paid in full within 12 months after the due date for payment.
