Federal Court freezes assets of Shield Master Fund


ASIC has obtained interim orders from the Federal Court freezing the assets of the Shield Master Fund (Shield), a registered managed fund whose responsible entity is Keystone Asset Management Ltd (Keystone).

ASIC sought the orders to help protect investor funds while an investigation is continuing.

Justice O’Callaghan ordered that Keystone is restrained from:

  • removing property from Australia,
  • selling, charging, mortgaging, dealing with or disposing of property,
  • incurring new liabilities, or
  • withdrawing, transferring, disposing of, or dealing with money held in bank accounts or with a financial institution (subject to limited exceptions).

The Court made orders that Paul Chiodo surrender his passport and be restrained from leaving Australia. ASIC sought these orders to ensure Mr Chiodo, as a former director of Keystone, remains in Australia while ASIC continues its investigation.

As the hearing was held in their absence, Keystone and Mr Chiodo have not yet had the opportunity to respond to ASIC’s application.

A further Court hearing is listed to take place on Tuesday 25 June 2024.

This action follows previous action that ASIC took in February 2024 to halt new offers of investments in Shield. ASIC made interim stop orders on four product disclosure statements for Shield (24-018MR).

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