The corporate regulator announced yesterday it has banned Queensland life insurance financial adviser Mateen Mohammed from providing financial services for seven years.
It came after ASIC found that Mr Mohammed had not maintained the “high standards expected of a provider of financial services”.
The corporate regulator also found that he did not understand the duties and obligations imposed on a provider of financial services and could not be relied upon to discharge the duties and obligations imposed on a provider of financial services.
Specifically, it was found that Mr Mohammed did not act in the best interests of his clients by failing to conduct a reasonable investigation into financial products that might achieve the objectives of the clients, including their existing superannuation and insurance products.
“Any advice to switch existing life insurance and superannuation products must be in the client’s best interest. Where there is nothing in the client’s relevant circumstances to indicate that the switch would be beneficial, ASIC will conclude that the client is not in a better position,” ASIC deputy chair Peter Kell said.