Former Melbourne planner pleads guilty to dishonest conduct

Former Melbourne financial planner, Bradley Grimm, pleaded guilty to three counts of dishonest conduct that took place in 2015.

According to the Australian Securities and Investments Commission (ASIC), Grimm engaged in dishonest conduct on five occasions, transferring monies between February to March, 2015, from two of his clients’ self-managed superannuation funds (SMSFs) to three separate companies where he was the sole director.

This included the following companies: Thrive Lending Pty Ltd, Trade BTC Ltd and Beta Pharmacology Pty Ltd.

He also dishonestly transferred shares and convertible notes owned by his clients’ SMSF to Equity Capital Partners Hedge Fund Pty Ltd, without adequately advising his client that it was a company of which he was the sole director and had a personal interest.

According to ASIC, Grimm also failed to advise his client that ASIC had sought the winding up of entities related to him, including Ostrava Equities Pty Ltd (which was authorised to provide financial advice and deal in financial products), and that he was banned from providing financial services by order of the Federal Court.

The matter has been listed in the Victorian County Court on 14 April 2023 for plea and sentencing hearing.

Grimm’s charges followed ASIC’s successful action in the Federal Court for the winding up of Ostrava Equities Pty Ltd, Ostrava Asset Management Pty Ltd, Ostrava Securities Pty Ltd, Ostrava Wealth Management Pty Ltd, Beta Pharmacology Pty Ltd, Prometheus Capital Pty Ltd, Thrive Lending Pty Ltd, Trade BTC Pty Ltd and Equity Capital Partners Hedge Fund Pty Ltd.

ASIC said that at the time of the offending, each breach of s1041G(1) of the Corporations Act carried a maximum penalty of 10 years imprisonment.