Peter Daly loses Full Federal Court appeal

Well-known financial services identity, Peter Daly has failed in his bid to have the Full Federal Court overturn his five-year banning and $150,000 penalty imposed by the Federal earlier this year.

The Australian Securities and Investments Commission (ASIC) said the Full Federal Court had dismissed an appeal by Daly who is a former director of Linchpin Capital Group now in liquidation.

It said the Full Court had upheld the previous Federal Court ruling that Daly:

• was an officer of a responsible entity of a registered managed investment scheme,
• breached his duties as an officer of a responsible entity of a registered managed investment scheme and did not act in the best interests of members, and
• pay a $150,000 penalty and be banned from managing a corporation for five years.

Commenting on the Full Court decision, ASIC Deputy Chair Sarah Court said the outcome should act as a reminder to directors of responsible entities that operate managed investment schemes that they must act in the best interests of members.’

ASIC noted that the Court ordered that the appeal should be dismissed.

“In his judgment, Justice Jackman said the penalty and period of disqualification ordered by the primary judge were well within the range of reasonable decisions, and one could not infer any misapplication of principle from that outcome. Justices O’Callaghan and McElwaine agreed.

Daly filed an appeal to the Full Federal Court in February 2024 seeking that the orders made by the trial judge be set aside, or that the Full Federal Court exercise its discretion to impose a lesser disqualification of three years and a pecuniary penalty amount of $40,000.

Daly has had a long career in financial services across a number of roles including as chief executive of AFS Group and managing director of Beacon Group. In 2018 he resigned as chair of the Association of Independently Owned Financial Professionals (AIOFP).