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Five Years of Broadband Policy Failure from Labor
Paul Fletcher’s Broadband Briefing
Five years after Labor announced its broadband policy, Australia’s broadband penetration ranking has dropped and Labor’s policy has made zero difference to the broadband service received by 99.9 per cent of Australians.
Written on Friday, 18 May 2012 00:00 in Broadband Briefing Read 4 times Read more... -
Principal's Courageous Action Highlights Threat of Cyberbullying
A Queensland Principal's decisive and courageous action - threatening to expel children under 13 with Facebook profiles - highlights the real dangers of unrestricted social media use by children too young to judge the risks involved, said Paul Fletcher MP, Chair of the Coalition's Online Safety Working Group.
Written on Friday, 18 May 2012 00:00 in Media Releases Read 1 times Read more... -
Bradfield Community Meeting Calls on Gillard to Apologise
A Community Meeting held by Paul Fletcher MP, Member for Bradfield has resolved to call on Prime Minister Julia Gillard to apologise for her divisive and inappropriate comments about Sydney’s North Shore.
Written on Friday, 18 May 2012 00:00 in Media Releases Read 1 times Read more... -
Investors defrauded of $176 million in Trio collapse, parliamentary committee finds
Over 6000 Australian superannuation and other investors were defrauded of $176 million in the Trio scandal according to a Parliamentary Committee report just released, Member for Bradfield Paul Fletcher said today.
Mr Fletcher, a member of the Parliament's Corporations and Financial Services Committee, said the Committee began its inquiry last year on his recommendation, after he was approached by constituents who had lost money in the collapse of Trio.
Written on Friday, 18 May 2012 00:00 in Media Releases Read 1 times Read more... -
Schoolkids Bonus Budget Measures
Mr FLETCHER (Bradfield) (10:51): I am pleased to rise to speak on the Family Assistance and Other Legislation Amendment (Schoolkids Bonus Budget Measures) Bill 2012. Let me start by noting that the process under which the House of Representatives is being asked to consider this bill is a deeply deficient one. The first official announcement of this measure was in the Treasurer's budget speech last night. We now have a bill which was introduced this morning that was only available to members of the House to review from 9.30 this morning.
Written on Tuesday, 15 May 2012 00:00 in Parliamentary Speeches Read 30 times Read more...
Paul Fletcher MP - Federal Member for Bradfield - Liberal Party
ASIC - Trio and other investment collapses
Category: Uncategorised Published Date Written by Paul Fletcher MP Hits: 162
In respect of investigations by the Australian Securities Investments Commission (ASIC) into (a) Trio Capital Ltd and its associated managed investment schemes, (b) Storm Financial Ltd, and (c) the Westpoint Group of companies, (i) when did investigations commence, (ii) what prompted the investigations, and (iii) what series of actions were taken by ASIC to prevent each entity from continuing to operate, or continuing to offer financial products.
Mr Shorten:The answer to the honourable member's question is as follows:
As ASIC's investigations and proceedings into the affairs of Storm Financial Limited (Storm), Westpoint Group and Trio Capital Limited (Trio) are continuing ASIC is unable to provide a comprehensive response to all questions in detail.
Trio
ASIC formally commenced its investigation in relation to Trio on 2 October 2009 in respect of the Astarra Strategic Fund ('ASF'), of which Trio was the responsible entity. ASIC in taking regulatory action worked closely with the Australian Prudential Regulation Authority as Trio Capital was the trustee of a number of superannuation funds.
On 14 October 2009 ASIC applied to the NSW Supreme Court for orders restricting overseas travel for two directors of the investment manager of the ASF. On 16 October 2009 ASIC placed interim stop orders on the Product Disclosure Statement for the ASF and on 21 October 2009 interim stop orders were placed on three associated Trio superannuation funds. This had the effect of stopping further investments being made into these funds. On 16 December 2009 Trio was placed into voluntary administration. The next day ASIC suspended its Australian financial services license which ensured it was no longer able to provide financial services
On 16 December 2009 APRA suspended Trio as the trustee of four superannuation funds and one pooled superannuation trust. APRA also appointed an acting trustee to manage these five entities.
On 16 April 2010 Justice Palmer in the Supreme Court of New South Wales, on the application of Trio's administrator, ordered the winding up of five managed investment schemes for which Trio was the responsible entity, including the ASF and ARP.
Storm
ASIC’s formal investigation commenced on 12 December 2008.
In the months of October, November and December 2008 the stock market fell significantly resulting in a shortfall between the equity and margin loans for Storm clients. Around 18 December 2008, following the commencement of its investigation, ASIC sought to negotiate an enforceable undertaking (EU) with Storm. The purpose of the EU was to address ASIC’s concerns that Storm may have been providing conflicted and incorrect advice to Storm clients who were in negative equity that they did not need to meet their margin calls and should not deal with the banks.
An EU was not ultimately executed. However, around 19 December 2008, Storm said it would cease contact with all its clients over the Christmas period. This action was not requested by ASIC and was a decision made by Storm. Storm subsequently went into administration on 9 January 2009.
Westpoint
From 2000 until early 2006, a number of investigations were conducted by ASIC in relation to the Westpoint Group of companies.
On 10 May 2004, Bayshore Mezzanine Pty Ltd commenced action against ASIC seeking a determination as to whether the promissory notes issued by it were regulated under the Corporations Act. On 12 May 2004, ASIC commenced proceedings against Emu Brewery Mezzanine Limited alleging that that company was carrying on an unregistered (but registrable) managed investment scheme. The two proceedings were heard together. In November 2004, the Supreme Court of Western Australia ruled that the promissory notes issued by Emu Brewery Mezzanine Ltd and Bayshore Mezzanine Pty Ltd were not debentures requiring a prospectus to be lodged with ASIC, but they were interests in a managed investment scheme. In June 2006, the Court of Appeal held that the promissory notes were interests in a managed investments scheme.
In 2004 and 2005 ASIC issued a number of interim and final stop orders in relation to the fundraising activities of the Westpoint Group.
In November and December 2005 ASIC issued applications in the Federal Court seeking to wind up York Street Mezzanine Pty Ltd and Ann Street Mezzanine Pty Ltd and to appoint a provisional liquidator in the interim. ASIC also sought orders for lodgement of financial reports for a number of Westpoint Group entities.
On 20 December 2005 the Federal Court ordered that Ann Street Mezzanine Pty Ltd and York Street Mezzanine Pty Ltd, be wound up. Orders were also made for the lodgement of financial accounts for a number of Westpoint Group entities.