Ensure you never miss an issue of the
real estate business bulletin
Real estate chief banned by ASIC

Real estate chief banned by ASIC

ASIC bans real estate identity
by Huntley Mitchell 1 comments

The corporate regulator has banned the CEO and director of a real estate group from providing financial services for four years.

Ronald Cross of ParkTrent Properties Group was handed the penalty after the Supreme Court of NSW found the company had unlawfully carried on an unlicensed financial services business for more than five years by advising clients to purchase investment properties through their SMSFs.

The court also permanently restrained ParkTrent from providing unlicensed financial product advice to clients regarding SMSFs.

ASIC found that, as the key decision-maker of ParkTrent, Mr Cross was knowingly involved in the company’s contraventions, making all its major strategic and business decisions and intending to influence clients to purchase properties through SMSFs.

The regulator also found that Mr Cross was willing to ignore legal advice and warnings about ParkTrent’s practices, “demonstrating that he is likely to contravene financial services laws”.

“ASIC’s action against Mr Cross shows that we will not hesitate to exclude property spruikers who provide unlicensed financial services from the industry,” ASIC deputy chairman Peter Kell said.

Real estate chief banned by ASIC
lawyersweekly logo
promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2017

The REB Top 100 Agents ranking is the foremost ranking of agents in Australia. It has set the bar for excellence in Australian real estate. To be ranked as an REB Top 100 Agent is the standard real estate professionals strive for. See the full 2018 ranking here!

featured podcast

featured podcast
An industry where the resilient succeeds

Tim Heavyside believes that a strong support team and good foundations are paramount to success in the real estate industry, and with regu...

View all podcasts

Would you consider working for Purplebricks or a similar 'DIY' model?

Yes (7.2%)
No (80.9%)
Perhaps - make me an offer (12%)

Total votes: 209
The voting for this poll has ended on: July 13, 2018
Do you have an industry update?