A NSW broker has pleaded guilty to fraud charges brought by ASIC.
Shiv Prakash Sahay, a former Aussie Home Loans
broker, pleaded guilty in Downing Centre Local Court to making false statements, making false documents and using false documents. ASIC said Sahay made the statements and used the documents for loan applications with Bankwest and Suncorp totaling around $7m.
Of the $7m in loans for which Sahay applied, ASIC said nearly $4.8m were approved.
"The credit laws are designed to protect borrowers from loans they cannot afford. ASIC will act against dishonest mortgage brokers who flout the law for their own financial gain with little regard for the interests of their clients," ASIC deputy chairman Peter Kell
said. "ASIC is targeting loan fraud and we will continue to remove brokers and other credit representatives who engage in fraudulent activity from the lending industry."