Following an investigation by ASIC, Mayfair 101 director James Mawhinney of Port Melbourne, Victoria, has been arrested and charged with four counts of dishonest conduct while engaging in a financial services business.
The charges stem from allegations that, between August 9, 2019, and April 21, 2020, Mawhinney falsely claimed to the trustee of the IPO Wealth Fund that the IPO Wealth Group was the owner of two Italian companies, Poveglia S.R.L. and Retta S.R.L., which it was not.
Each charge of dishonest conduct carries a severe potential penalty, with up to 15 years of imprisonment for each count.
Mawhinney, following his court appearance in the Melbourne Magistrates Court, has been granted conditional bail with the requirement that he remains within Australia.
The case is being prosecuted by the Commonwealth director of public prosecutions, following a referral from ASIC.
Mawhinney is scheduled to make his next court appearance on June 28, ASIC reported in a media release.
The corporate regulator also recently fined an audit director for not adhering to audit rotation mandates, and the Federal Court had dismissed Provident Capital’s challenge against an ASIC probe.
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