Three advisers have been convicted for carrying on an investment advice business without the appropriate licences.
Following an ASIC investigation, Marianna Casella, Peter Stokes, and Ken McDowell were each found guilty in July this year and subsequently sentenced last week in the Brisbane Magistrates Court.
Casella and Stokes, both from Queensland, were equally sentenced to four months imprisonment fully suspended with a $1000 good behaviour bond for two years.
McDowell, from Victoria, was sentenced to seven months imprisonment fully suspended with a $1000 good behaviour bond for two years.
Between January 2001 and July 2002, Casella, Stokes and McDowell held out that they were investment advisers, when they did not hold a licence and were not exempt from holding a licence under Corporations Law.
Meanwhile, a former franchisee of Power Loan was sentenced on Westpoint related charges, following a charge brought about by ASIC.
Russell Collins-McBride was convicted to six months imprisonment fully suspended upon entering into a recognisance to be of good behaviour for three years.
Collins-McBride pleaded guilty to aiding, abetting, counselling and procuring Power Financial Planning (Power FP) to carry on a financial services business without an Australian financial services licence in contravention of the Corporations Act 2001.
Collins-McBride assisted Power FP to arrange for clients of an associated company, National Trading and Finance Group, the proprietor of Power Loan, to invest more than $8 million in financial products which included Westpoint promissory notes.
