A Sydney life insurance adviser has been banned from providing financial services for four years, after an ASIC investigation.
ASIC's action against Brian Farber, a life insurance financial adviser and former authorised representative of Risk Advice Specialists, was a response to information it received from the licensee concerning advice provided in relation to life insurance and insurance contracts by Farber.
The regulator found that Farber was not adequately trained or competent to provide a financial service and that he had failed to comply with the financial services laws.
In particular, it was found that in a number of instances Farber failed to act in his clients' best interests in the course of providing financial product advice and he engaged in misleading or deceptive conduct in relation to backdating a number of Statements of Advice.
“Consumers should be confident that their financial adviser is acting in their best interest. The business model of simply 'selling' life insurance without complying with the legal and regulatory obligations will not be tolerated by ASIC and advisers who do so will be removed from the industry,” ASIC deputy chairman, Peter Kell.
Farber was, in the period 23 December 2011 to 31 May 2015, an authorised representative of Risk Advice Specialists, a wholly owned subsidiary of the Macquarie
Risk Advice Specialists has advised ASIC that it has ceased to trade and has commenced action to cancel its AFS Licence.