ASIC acts on firm’s ‘free SMSF set-up’ claims
ASIC has commenced legal action in the Federal Court of Australia seeking financial penalties and orders to prevent one company from advertising free SMSF set-ups.
ASIC is attempting to prevent Superannuation Warehouse Australia Pty Ltd (SWA), from advertising "free SMSF set-up" on two websites: http://www.superannuationwarehouse.com.au and http://www.smsfwarehouse.com.au.
According to an announcement from ASIC this morning, SWA provides online accounting and administration services for SMSFs.
ASIC alleges that SWA engaged in misleading or deceptive conduct in relation to financial services and made false or misleading representations when it promoted the free set-up of SMSFs on the websites without clearly disclosing that conditions and charges were associated with the 'free' set-up service.
In addition to declarations, injunctions and financial penalties, ASIC stated it is seeking orders requiring SWA to implement a compliance program and post notices on the websites and notify consumers who applied to SWA for the free SMSF set-up service about the proceedings.
The first hearing of the matter is listed for 8 May 2015, ASIC has said.