In a public statement, ASIC said it has banned Ramana Rao of Heathpool, South Australia, from providing financial services for three years because he was “not adequately trained or competent and demonstrated a lack of professionalism, judgement and integrity when advising some of his SMSF clients”.
“ASIC found that Mr Rao had advised one of his clients to obtain financial assistance by drawing out funds from their SMSF where the removal was not permitted by the Superannuation Industry (Supervision) Act 1993 or the SMSF’s trust deed,” said ASIC.
The Corporate Regulator also found that Mr Rao had failed to prioritise the interests of a client over his own by recommending that his client’s SMSF provides a loan to Mr Rao’s business when Mr Rao knew such an investment was not a sound one.
In both those instances, ASIC found that Mr Rao failed to give his clients statements of advice.
Mr Rao’s banning will be recorded on ASIC’s Financial Advisers Register.
Mr Rao has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.
Earlier on my Conservative structure was in my view doing quite well until the time ,this chap told me that with the current set up I wont be able to retire.He Introduced me to SMSF which has left me high and dry.
Right from start my balance shrunk within the 1st month with Fees of ALL SORTS
Fees etc far exceeded any money the Shares made.
This Adviser should be BANNED for LIFE
Shouldn’t he be banned for life & given a jail sentence??
I agree, this is a major breach of trust.