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ASIC warning fails to stop fraudulent loan writer from operating

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Australian Broker | 02 Sep 2013, 08:00 AM Agree 0
ASIC issued a warning regarding fraudulent Mike Morgan Loans last week - but the brokerage is still attempting to do business with Australian consumers
  • Keith of the West | 02 Sep 2013, 09:59 AM Agree 0
    One can only assume this sort of activity has been going on for years & Mr Morgan and co have operated outside guidelines right under ASIC's nose!. Makes a mockery of NCCP and the guidelines we as bona fide licenced brokers' are being governed by
  • Country Broker | 02 Sep 2013, 10:19 AM Agree 0
    This will be a great test for ASIC to see if the move quickly to shut this down.
  • Denise Brailey BFCSA (Inc) | 02 Sep 2013, 10:59 AM Agree 0
    I note it takes three months for ASIC to act upon anything and then hit out with damp lettuce leaf. In my experience with ASIC....sorry folks.....three months is ASIC's "fast track" system which they say is a "timely manner." How many more loans have been written since ASIC was notified?
  • Coast Broker | 02 Sep 2013, 11:43 AM Agree 0
    Hopefully this guys Lenders are pulling his accreditations as we speak.
  • sam | 02 Sep 2013, 11:57 AM Agree 0
    He got "South African Credit Licence No 386355" , any one knows how that happened ?
  • Maria Rigoni | 04 Sep 2013, 09:49 AM Agree 0
    South Africa has a credit registration system not a licensing system. This Mike Morgan website imitating a genuine company is more than fraud it is a slight on the reputation of our industry. The government and their watchdog need to be held to account if our industry reputation is tarnished.

    The National Consumer Credit Protection Act was set up to protect the standing of legitimate credit assistance and credit provider businesses... you know weed out the cowboys... to protect consumers from rogue operators... is this Mike Morgan fiasco an example of the law failing yet again!

    Credit licence holders and credit representatives are registered with ASIC and are expected to pay annual licensing fees to ASIC and cover compliance costs just to be allowed to operate a red taped finance broking business.

    Be compliant; disclose your commission, give consumers multiple forms that most don't give a hoot about... and be aware that behaviour of rogue operators can be investigated for 3 months by the regulator with a result of a vague warning for consumers not to use them.

    This is a very serious issue and any broker business can be an easy target.

    The legitimate broking business, the aggregator, an industry body and the individual loan writer are all at high risk of having their reputation marred.

    Is ASIC not able to immediately close Mike Morgan Loans rogue website down? If not, why not?
  • sidbroker | 07 Sep 2013, 07:38 AM Agree 0
    We sacked Rudd today. Lets sack ASIC tomorrow. They are useless.
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