Peter Robin Hickey has been convicted of three counts of stealing A$230,000 from investors, who thought they were buying into property and renovations through his firm Cape Bonbon. Western Australia-based Hickey allegedly used the funds to pay off personal debts, including his wife’s credit card.

The money was stolen between 14 April and 8 July 2005, and has not yet been returned to clients, according to ASIC. The charges made carry a maximum penalty of 10 years’ imprisonment on each count.

Hickey, who is now bankrupt, will be sentenced in the Perth District Court on 14 March 2012. He has been released on bail pending a pre-sentence report and other reports.

“The outcome of the trial provides important guidance of what ASIC expects of directors. In this instance, ASIC expects directors to act honestly and not use their position to advantage themselves,” ASIC said.

Separately, ASIC also announced it had permanently banned a former South Australian company director from providing financial services after he dishonestly obtained more than A$400,000 from clients over a two-year period.

The action against Craig John Horsell, of Adelaide, follows an ASIC investigation into his time as an employee and a director of insurance businesses Horsell International and PSC Horsell Insurance Brokers between 22 January 2007 and 23 July 2010.

ASIC’s investigation found that between 2007 and 2010 Horsell acted dishonestly and in breach of financial services laws when he authorised the transfers of 72 insurance premium payments from clients totaling A$409,635.24, into his bank account. He did not purchase the insurance products as requested by the clients.

ASIC banned Horsell in order to protect the public, deter similar conduct and maintain consumer confidence in the financial services sector. The watchdog said it had recovered all outstanding funds from Horsell so that no clients face any financial losses.