ASIC Suspends Licence of Risk Firm

ASIC has temporarily suspended the licence of a Sydney based life insurance advice business after it failed to lodge financial statements and auditor’s reports for a period of two years.

The Australian Financial Services Licence of Mackellar Financial Services, in Sydney’s northern suburbs, has been suspended from 31 October 2017 until 30 April 2018 following the breach of its legal obligations and licence conditions.

ASIC stated the required documents can be lodged during that period but if they are not lodged by 30 April 2018 it would consider cancelling the licence, which has been held by Mackellar since July 2012.

ASIC Deputy Chair, Peter Kell said, “Licensees are required to lodge financial statements and auditor’s reports with ASIC to demonstrate their capacity to provide financial services”.

“Failure to comply with reporting obligations can be an indicator of a poor compliance culture. ASIC won’t hesitate to act against licensees who do not meet these important requirements,” Kell said.