{"id":50182,"date":"2020-05-26T14:52:08","date_gmt":"2020-05-26T03:52:08","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=50182"},"modified":"2020-05-26T14:56:56","modified_gmt":"2020-05-26T03:56:56","slug":"asic-bans-former-spectrum-wealth-adviser-for-five-years","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2020\/05\/26\/asic-bans-former-spectrum-wealth-adviser-for-five-years\/","title":{"rendered":"ASIC Bans Former Spectrum Wealth Adviser for Five Years"},"content":{"rendered":"

ASIC<\/a> has banned Hunter Valley-based financial adviser Sean Philip Lewis from providing financial services for five years.<\/p>\n

The commission says in a media release that this follows an ASIC surveillance of Lewis\u2019 advice while he was an authorised representative of Spectrum Wealth Advisers.<\/p>\n

ASIC found that Lewis \u201c\u2026 failed to comply with financial services laws, including by failing to provide advice that was in the best interests of his clients and failing to provide advice that was appropriate for his clients\u2019 objectives\u201d.<\/p>\n

It says Lewis advised most of his clients to use a Limited Recourse Borrowing Arrangement (LRBA) to fund the purchase of real property through a self-managed superannuation fund (SMSF). He also gave insurance advice to all clients.<\/p>\n

\u201cWhen providing this advice, Mr Lewis did not professionally and independently assess whether using an SMSF and borrowed funds to invest in property was an appropriate strategy for each of his clients. He also did not adequately investigate or offer any alternative investment strategies that may have provided greater diversification of risks.<\/p>\n

…ASIC also found that when providing insurance advice, Lewis prioritised his own interests over that of his clients…<\/p><\/blockquote>\n

\u201cASIC also found that when providing insurance advice, Mr Lewis prioritised his own interests over that of his clients. He provided insurance advice that would generate large commissions for himself, regardless of whether the recommended products were appropriate for his clients.\u201d<\/p>\n

ASIC says the banning of Lewis is part of \u201c\u2026ASIC\u2019s ongoing efforts to improve standards across the financial services industry. It will be recorded on ASIC\u2019s publicly available Financial Advisers Register and the Banned and Disqualified Persons Register\u201d.<\/p>\n

Lewis has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC\u2019s decision.<\/p>\n

As background ASIC notes Lewis has been an authorised representative of the following AFS licensees:<\/p>\n