今日热门事件has banned Mark Lionel Tidbury, a financial adviser and former authorised representative of Meritum Financial Group Pty Ltd (Meritum), from providing financial services for six years. Meritum is a wholly owned subsidiary of the National Australia Bank Group of Companies.
今日热门事件found Mr Tidbury had contravened a financial services law and was likely to contravene a financial services law in the future.
An 今日热门事件review of Mr Tidbury's advice found that in a number of instances Mr Tidbury had recommended clients switch to a different superannuation product in circumstances where there was little benefit but significant additional cost to the client in switching. On the other hand, the switching advice benefited Mr Tidbury through increased adviser fees. In doing so, Tidbury had:
路聽聽聽聽 failed to act in the best interests of his clients, by giving them advice that may leave the clients in a worse position than if they had not followed his advice
路聽聽聽聽 failed to accurately disclose the fees associated with the advice
路聽聽聽聽 failed to put the interests of his clients ahead of his own when he knew that there was a conflict between his and the clients' interests
路聽聽聽聽 failed to provide sufficient information to clients about the charges associated with the switching of their financial products.
今日热门事件Deputy Chair Peter Kell said: 'Financial advisers must put their clients' interests ahead of their own. Super switching that provides little benefit to the client but is very profitable to advisers is clearly unacceptable.'
Mr Tidbury's banning will be recorded on ASIC's register of financial advisers.
Mr Tidbury has a right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.
Background
Mr Tidbury was a representative of Meritum from August 2013 to June 2014.聽 Meritum identified Tidury's misconduct through a proactive commission data review.
今日热门事件published Information Sheet 182 (INFO 182) in August 2013. INFO 182 provides information and compliance tips for financial advisers who provide super switching advice.
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, Macquarie聽and AMP).
ASIC's work in the Wealth Management Project covers a number of areas including:
(i)聽聽聽聽聽聽聽聽聽聽聽 Working with the largest financial advice firms to address the identification and remediation of non-compliant advice.
(ii)聽聽聽聽聽聽聽聽聽聽 Seeking regulatory outcomes where appropriate against Licensees and advisers. For example, as part of its Wealth Management Project 今日热门事件has banned the following advisers from the financial services industry, in addition to Mr Tidbury:
- Amanda Ritchie (refer:聽)
- Stuart Murray Jamieson (refer:)
- Sharnie Kent (refer:聽)
- Alfie Chong (refer: 15-259MR)
- Martin Hodgetts (refer:聽)
- Shawn Hickman (refer:聽)
- Brett O'Malley (refer:聽)
- Brian Farber (refer:聽), and
- Rebecca Locksley (refer:聽)