The corporate regulator is looking to force a sydney-based financial planner into liquidation over “serious concerns” about how it handled $17.4 million of investors’ funds.
The Australian Securities and Investments Commission is seeking an independent liquidator for Capital Guard at the NSW Supreme Court.
It comes amid concerns the firm promoted fake bonds to investors, provided false information to its auditor and that only a small proportion of the $17.4 million it raised remains in known Capital Guard accounts and platforms.
Capital Guard’s financial services licence was cancelled late last month.
ASIC found the company promoted a fake Macquarie Bank bond, made misleading statements on its website and engaged in serious misconduct.
“ASIC is seeking the appointment of an independent liquidator to take control of Capital Guard, investigate its affairs, and preserve and recover assets where possible,” ASIC said.
“ASIC has taken this action because it has serious concerns about Capital Guard’s management, the handling of investor funds, and whether particular bonds offered to investors existed as represented.”
The company received the funds from about 80 investors.
The court action follows ASIC finding Capital Guard…