Australian Watchdog Bans Financial Advisor From Industry For Life

Julia Reinholdsson

2 July 2015

The Australian Securities and Investments Commission has permanently banned a financial advisor from the industry because of misleading or deceptive conduct and for not following financial services law.

The watchdog has imposed the ban on Lee Robert Robin, of Camp Hill, Queensland. He was the director of Protect Ensure since 18 April 2006. Protect Ensure provided financial planning services, including advice, and it was placed into liquidation on 12 June 2015.

ASIC found that Robin engaged in conduct that was misleading or deceptive whilst issuing unsecured fixed interest notes in Protect Ensure. The Australian regulator also found that he failed to comply with financial services laws, according to a statement yesterday.

The regulator’s investigation found that between July 2013 and December 2014 Robin’s misconduct included dishonest behaviour by depositing clients’ monies into an entity associated with Protect Ensure group and using those funds for personal expenses and making payments to other noteholders.

Robin failed to lodge accurate annual accounts on time together with a corresponding auditor's report and he failed to ensure that Protect Ensure had adequate financial resources to provide its services and supervise its representatives. Other findings in the investigation are that he failed to know the financial position of Protect Ensure and to report these breaches to ASIC, it said.

On 15 December 2014, ASIC cancelled the Australian financial services licence of Protect Ensure as a result of the firm not having adequate financial resources to provide the services covered by the licence.

ASIC has determined that Robin is an unsuitable person to provide financial services as he has not maintained the high standards of his profession.

“Mr Robin's wrongdoing is inconsistent with the honesty, integrity, diligence and judgement that is expected and required of those in the industry,” said Peter Kell, deputy chair of ASIC.

“ASIC will continue to take action to remove from the industry advisors who breach community trust,” he added.

Robin has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.