Daniel Duy Anh Nguyen, of Woodville North, South Australia, has been convicted in the Adelaide Magistrates Court after pleading guilty to five charges of giving false or misleading information to Westpac.
Nguyen operated a finance broking business called Arndale Finance. Between October 2011 and February 2012, he provided false or misleading information relating to a sale contract and rental appraisal letters provided in support of home loan applications on behalf of five of his clients.
He has received a four month suspended sentence and released on a recognizance that he be of good behaviour for 12 months.
In handing down the decision, the magistrate said that those in finance must have confidence that information is accurate and that the nature of the conduct is ‘easy to commit and difficult to detect’.
“If credit providers had to enquire into every loan application...the cost of providing loans would increase and would be passed to consumers. Therefore, general deterrence is important.”
ASIC deputy chairman, Peter Kell, says credit brokers operate in a position of trust and are often the conduit between the general public and credit providers.
“Brokers must ensure the information and documents they provide are genuine, accurate and true. As this case highlights, we will act to ensure those who do not adhere to their responsibilities are dealt with accordingly.”
On 16 October 2013 ASIC banned Nguyen from engaging in credit activity and from providing financial services for a period of 4 years. On October 18, 2013 ASIC cancelled Ausfin's Australian credit licence.
ASIC then lodged a second submission to the Senate Economics References Committee inquiry detailing its role and performance in regulating consumer credit, including loan fraud.