A former Victorian financial adviser has been hit with an industry ban from ASIC for providing inappropriate and misleading advice.
Michael Kolody, a former financial adviser for Madison Financial Group has been prohibited from providing financial services for five-and-a-half years.
According to ASIC, between July 2010 and January 2014, Kolody provided inappropriate and misdealing advice for his clients’ circumstances, failed to maintain adequate records of his advice, and failed to provide transparent disclosure regarding commissions he received.
“Mr Kolody’s conduct demonstrates a clear failure to protect the interests of his clients. Financial advisers must provide appropriate advice, and they must keep adequate records that set out the basis on which the advice is given,” ASIC deputy chairman, Peter Kell has said.
Kolody provided personal financial advice and made recommendations to retail clients on financial products including superannuation and shares. He has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.