ASIC has banned a former authorised representative of Commonwealth Financial Planning , Kimberley Holgate of Wagga Wagga, from providing financial services for five years.
ASIC says it found Ms Holgate “engaged in conduct that was likely to mislead by cutting clients’ signatures from documents held on file and pasting them onto new document”.
The regulator also says it found Ms Holgate did not act in the best interest of clients when advising rolling over super to a new product issued by a related entity of the Commonwealth Bank, advised them to cancel existing insurance and apply for policies with CommInsure and “failed to prioritise the interests of her clients when advising them to acquire financial products which entitled her, her employer and its related entities to a financial benefit”.
“The super advice provided by Ms Holgate did not result in any improvement to the clients’ current financial position,” says ASIC.
Ms Holgate also, according to ASIC, cancelled the existing insurance of clients before replacement cover was approved, leaving some without any insurance cover at all.
Ms Holgate has a right of appeal to the Administrative Appeals Tribunal.
The ban will be recorded on ASIC’s Financial Advisers Register.
This ban is part of ASIC’s Wealth Management Project, which focuses on the conduct of Australia’s largest financial advice firms. So far 40 advisers have been banned as part of the project.