Financial adviser banned for failing director duties
ASIC has banned a former financial adviser for five years following his involvement in 14 failed companies, including an SMSF firm.
ASIC has disqualified Daniel McSweeny of Zetland, NSW, from managing companies for the maximum period of five years following his involvement in 14 failed companies, including an advice and accounting firm that provided SMSF services.
Mr McSweeney used the companies to operate a financial services business. The companies were placed into liquidation between 21 August 2014 and 8 September 2015.
The total amount of debts owed by the 14 companies to creditors amounted to about $9.8 million.
ASIC found that Mr McSweeny had fraudulently misappropriated company money, used the company structure for his own dishonest means and showed a complete disregard of his director duties.
It also found that he had failed to observe requirements to lodge documents with the ATO, failed to ensure the companies complied with their obligation to keep written financial records and failed to prevent the companies from trading while possibly insolvent.
In reaching its decision, ASIC relied on reports that were lodged by the liquidators of the failed companies.
Mr McSweeny’s disqualification took effect from 2 May 2019 and extends to 1 May 2024.
Following a separate ASIC investigation, Mr McSweeny has been charged with 20 dishonesty offences and one offence of falsifying books while a company director.
The matter is next scheduled for mention on 5 July 2019 and is being prosecuted by the Commonwealth Director of Public Prosecutions.