ASIC has permanently banned a Brisbane-based finance broker from engaging in future credit activity following his fraudulent behaviour regarding a mortgage customer.
Following its investigation, ASIC found Jeffry Leonard Gordon had knowingly or recklessly provided a false letter to a client stating that they had been formally approved for a home loan with St. George when, at the time, no such application had even been lodged with said bank on the client’s behalf.
ASIC commenced its investigation following a notification of dishonest conduct by the Australian Financial Complaints Authority (AFCA).
Gordon was found not to have complied with his obligations under the National Credit Act by failing to:
- pay the amount to the complainants as directed by AFCA
- lodge an annual compliance certificate
- maintain a trust account
- comply with a condition of his licence, by not notifying ASIC of a change in an approved external dispute resolution scheme
Gordon had initially obtained an Australian Credit Licence in October 2011; however, it was cancelled in May 2020 given that he ceased to operate his credit business in early 2019.
While his permanent banning from engaging in future credit activities is effective from 29 July 2020, he does have the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision if he so chooses.