However, the ban has been temporarily stayed pending a hearing
The Australian Securities and Investments Commission has issued a ban on Maree Narelle Hawcroft, a Queensland director, from controlling an entity involved in a financial services business.
This ban, which also prohibits Hawcroft from performing any functions related to such a business, will be in effect for one year starting from March 14, 2023, ASIC said in a news release.
However, the ban has been temporarily stayed as of Aug. 1, 2023, subject to certain conditions. Hawcroft had filed an application with the Administrative Appeals Tribunal (AAT) to review ASIC's decision and had also requested a stay and confidentiality orders.
Hawcroft had served as the director of A.C.N. 127 523 193 Limited, previously known as Oracle Funds Management Limited, and A.C.N. 114 733 569 Limited, formerly ISG Financial Services Limited.
ASIC's investigation found that Hawcroft was not considered a fit and proper person to hold positions as an officer or controller of a financial services business. This conclusion was drawn based on her submission of inaccurate information in a personal information statement provided to ASIC for a recent application from Oracle. In the statement, Hawcroft falsely declared that within the past 10 years she had not been involved in managing a company that required a licence, was under investigation or proceedings by a regulatory body, or had a licence revoked or suspended under the Corporations Act. However, at the time of signing the statement, Hawcroft was serving as a director of ISG, whose Australian Financial Services licence had been suspended.
ASIC determined that Hawcroft's provision of incorrect information demonstrated a lack of diligence, professionalism, and poor judgement.
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The banning order against Hawcroft has been recorded on ASIC's publicly available “Banned and disqualified” register.
On March 27, Hawcroft filed an application with the AAT to review ASIC's decision and also requested stay and confidentiality orders. On Aug. 1, the AAT granted a temporary stay order over ASIC's decision, with the agreement of ASIC and subject to specific conditions, until the review application is resolved.
This temporary stay order allows Hawcroft to undertake activities that would otherwise be prohibited by the banning order, provided she complies with the conditions. These conditions include providing information to ASIC about her activities that would be restricted by the banning order and ensuring that entities she engages with are made aware of ASIC's decision and the stay orders.
The confidentiality application made by Hawcroft was withdrawn. A date for the substantive hearing at the AAT is yet to be determined.
Earlier this month, ASIC announced the appointment of three new commissioners. In July, the regulator announced higher penalties for broker non-compliance.
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