ASIC has banned Adelaide financial adviser Adrian John Cassidy from providing financial services for six years.
ASIC found Mr Cassidy acted dishonestly by concealing from his licensee, Godfrey Pembroke (a wholly owned subsidiary of National Australia Bank), recommendations he gave to 54 clients in 2017. The recommendations were for his clients to invest in the start-up company Bux Global Limited (Bux).
Mr Cassidy’s conduct was reported to ASIC by NAB.
ASIC also found that in making these recommendations, Mr Cassidy was required to act in his clients’ best interests and to provide them with a statement of advice regarding Bux, which he failed to do.
Bux’s business ultimately failed and liquidators were appointed in October 2018.
ASIC found Mr Cassidy’s conduct had significant consequences for his clients and his licensee and he failed to consider those consequences when he recommended clients invest in Bux.
Mr Cassidy’s banning is recorded on ASIC’s Banned and Disqualified Persons Register.
Mr Cassidy has appealed ASIC’s decision to the Administrative Appeals Tribunal. A hearing date is yet to be set.
Background
The banning order was made by ASIC on 14 November 2019. Mr Cassidy applied to the AAT for a stay of the banning order. His application was dismissed on 23 January 2020.
The banning of Mr Cassidy falls within ASIC’s Wealth Management Major Financial Institutions Portfolio. The Portfolio focuses on the financial services conduct of Australia’s largest financial institutions (NAB, Westpac, CBA, ANZ and AMP) with respect to credit and retail lending, financial advice, fees for no service, superannuation trustees, insurance, unfair contract terms and other licensee obligations.
