ASIC freezes assets of another MIS
The Australian Securities and Investments Commission (ASIC) has obtained court orders freezing the funds of another Managed Investment Scheme (MIS), Falcon Capital Limited, the First Guardian Master Fund and David Anderson.
The regulator said that it had obtained interim Federal Court orders giving effect to freezing the assets.
Falcon is the responsible entity for First Guardian and Anderson is a director of Falcon.
ASIC said sought the orders to help protect investor funds while an investigation is continuing.
The Federal Court orders restrain Falcon and Mr Anderson from:
- removing their property (including the property of First Guardian) from Australia,
- selling, charging, mortgaging, encumbering or otherwise dealing with, disposing of and/or diminishing the value of that property,
- incurring new liabilities, and
- withdrawing, transferring, disposing of or dealing with money held in bank accounts in which Falcon or Mr Anderson have an interest.
The orders are subject to some limited exceptions, including to allow for the transfer of specific property of First Guardian under an existing sale agreement entered into by Falcon.
Falcon suspended the processing of applications and withdrawals from First Guardian on 27 May 2024 subject to some limited exceptions.
Another dodgy, failed MIS to add to the CSLR bill. When will the absurdity of it end. Why do advisers keep having to pay the bill for product failures.
Given advisers wear most of the risk of product failures, it seems we would have the most right to charge asset based fees to compensate us for that risk. If product manufacturers can just walk away scott free, surely a flat fee commensurate with their work is more appropriate no?