ASIC has issued final stop orders on unsolicited offers made by Tankstream Funds Management to investors in 16 unlisted Centro MCS property syndicates.
The orders follow Tankstream making a series of unsolicited offers for up to 50 per cent of the interests on issue in various Centro MCS property syndicates in November 2009.
The Centro MCS syndicates are registered managed investment schemes, with total assets under management of around $1.5 billion as at 30 June 2009.
In return for their interests in the Centro MCS syndicates, investors were offered interests in the Pelorus Property Trust (PPT), an unlisted scheme for which Tankstream is the responsible entity.
In ASIC's view, Tankstream's offer documents and product disclosure statement relating to the PPT did not adequately disclose information required under the Corporations Act.
The corporate watchdog also found the documents did not appropriately identify Tankstream as the offeror, or clearly explain the nature of a PPT investment.
Furthermore, they did not adequately explain Tankstream's basis for estimating the fair value of interests in the relevant Centro MCS syndicate or the value of interests in PPT.
The final stop orders protect the position of Centro MCS investors by preventing Tankstream from making any further unsolicited offers and from acting on any acceptances received to date.
