ASIC has accepted a court-enforceable undertaking from former Acquire Strategic Advisers Pty Ltd director and financial adviser, Gregory Blackaby, from Brisbane, Queensland.
ASIC's investigation revealed that Mr Blackaby failed to keep adequate and up-to-date records to show he had provided clients with services they were entitled to under ongoing service arrangements.
Under the terms of the undertaking, Mr Blackaby has agreed that he will not:
- carry on a financial services business,
- provide financial services, or
- act in a managerial capacity of any entity operating a financial services business or providing legal, accounting or other advisory services to a financial services business.
Mr Blackaby was also an authorised representative of Capstone Financial Planning ACN 093 733 969 (AFS Licence no. 223135).
Capstone and Mr Blackaby are undertaking a remediation program for Mr Blackaby's clients. To date, the program has refunded over $500,000 to clients where the records were not sufficient to ensure that clients had received the services they were entitled to.
Under the terms of the undertaking, Mr Blackaby is also required to notify all clients of the remediation program and their rights to complain to AFCA if they have disputes with Capstone that cannot otherwise be resolved.
View ASIC's Court Enforceable undertakings register
Background
ASIC may accept a court enforceable undertaking to improve and enforce compliance with the law. Court enforceable undertakings are not always used as an alternative to other enforcement action, they can also be used to complement or enhance such actions.
ASIC will not usually accept a court enforceable undertaking:
- instead of pursuing criminal court proceedings;
- where the misconduct is deliberate or involves a high level of recklessness, or
- after a matter has been referred to an ASIC delegate or another specialist body.
ASIC generally requires that a court enforceable undertaking contains admissions that the party providing the undertaking contravened legislative provisions. If the party does not comply with the undertakings, ASIC will seek to enforce the undertaking through the court.
Further guidance on how ASIC uses court enforceable undertakings can be found in Regulatory Guide 100 Court enforceable undertakings (RG 100).
