Property investment promoter, Park Trent Properties Group has been taken to court by ASIC for unlawfully promoting the use of SMSFs
to purchase investment property.
ASIC alleges and is seeking declarations that Park Trent is unlawfully carrying on a financial services business without an Australian financial services licence.
According to the regulator, Park Trent has advised at least 500 members of the public to establish and switch funds into an SMSF
which are then used to purchase investment properties that are owned or promoted by Park Trent companies.
“Collectively, Australians hold over $1.85 trillion worth of assets in superannuation funds, with $557 billion held in SMSFs. It is important when making decisions regarding superannuation to consider obtaining appropriate advice from an authorised financial adviser,” ASIC Commissioner Greg Tanzer said.
“Dealing with an authorised adviser affords specific protections under the law, such as acting in the best interests of clients, a duty to avoid conflicts of interest and providing access to dispute resolution schemes.”