Following an investigation by the Australian Securities and Investment Commission (ASIC) and a hearing, ASIC has banned Mr Shane Thompson of New Gisborne, Victoria, from providing financial services and credit activities for seven years.

Mr Thompson was employed by National Australia Bank (NAB) during the time the misconduct for which he was banned, took place.

ASIC banned Mr Thompson after finding he contravened financial services laws and that he was not a fit and proper person to also engage in credit activities.

ASIC's investigation found that between December 2012 and February 2013, Mr Thompson engaged in misleading and deceptive conduct by:

  • Preparing and completing 'Change of adviser' forms including the forging of client signatures without clients' knowledge or authorisation;
  • Submitting the false 'Change of Adviser' forms to mislead the product issuer into  transferring general NAB clients to his personal financial planning client list; and
  • Receiving the financial planning remuneration benefit that flowed from processing these false forms.

ASIC Deputy Chair Peter Kell said ASIC's Wealth Management Project was removing from industry financial advisers who did not meet the standards ASIC and the community expected.

'ASIC's action against Mr Thompson should serve as a lesson to any financial advisers committing similarly brazen misconduct: ASIC will ban you.'

Mr Thompson has the right to apply to the Administrative Appeals Tribunal for a review and stay of ASIC's decision.

Background

This outcome is a result of ASIC's Wealth Management Project. The Wealth Management Project was established in October 2014 with the objective of lifting standards by major financial advice providers. The Wealth Management Project focuses on the conduct of the largest financial advice firms (NAB, Westpac, CBA, ANZ, AMP and Macquarie).

ASIC's work in the Wealth Management Project covers a number of areas including:

(i) Working with the largest financial advice firms to address the identification and remediation of non-compliant advice.

(ii) Seeking regulatory outcomes where appropriate against Licensees and advisers. For example, as part of its Wealth Management Project ASIC has banned the following advisers from the financial services industry, in addition to Mr Thompson: