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​Tech gap sees brokers blamed for fraud

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Australian Broker | 19 Feb 2014, 08:00 AM Agree 0
Following a Melbourne broker’s ban for failing to verify documents, lenders and aggregators have been called on to help brokers meet ASIC requirements.
  • oldBroker | 20 Feb 2014, 11:05 AM Agree 0
    This is a very important issue, because good brokers who are only doing their job could be caught-up in this. The question is: what constitutes reasonable investigation on the part of the broker's due-diligence?
    I would hope that the MFAA (if this broker is a member) would investigate this to determine whether the broker is indeed negligent or did adequate due-diligence but was stymied by inadequate tools, access to correct data, etc. If it is shown that the broker tried to do the investigation, then the MFAA should lobby on his behalf.
    Regardless of this particular's broker guilt or innocence however, the MFAA should be lobbying to remove this ambiguity from the NCCP regulations. This is very important.
  • Phil in Finance | 20 Feb 2014, 11:28 AM Agree 0
    It would also be very helpful to brokers if the ATO would be willing to confirm PAYG Summary and Notice of Assessments are genuine (or otherwise). It is a simple data match that could be completed easily if they wanted and a copy of the confirmation could then be sent to the lender.
  • oldBroker | 20 Feb 2014, 02:57 PM Agree 0
    This is a very important issue, because good brokers who are only doing their job could be caught-up in this. The question is: what constitutes reasonable investigation on the part of the broker's due-diligence?
    I would hope that the MFAA (if this broker is a member) would investigate this to determine whether the broker is indeed negligent or did adequate due-diligence but was stymied by inadequate tools, access to correct data, etc. If it is shown that the broker tried to do the investigation, then the MFAA should lobby on his behalf.
    Regardless of this particular's broker guilt or innocence however, the MFAA should be lobbying to remove this ambiguity from the NCCP regulations. This is very important.
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