The Administrative Appeals Tribunal (AAT) has backed ASIC’s decision to permanently ban a former Victorian finance broker from engaging in credit activities.
In July 2014, ASIC banned Rudy Noel Frugtniet – a former director of Unique Mortgage Services – after it was found he provided misleading information and a lack of full disclosure on a credit licence application.
Frugtniet then filed an application in the AAT for a review of ASIC's decision on 25 July 2014. He also made an application for a stay of the banning, which was refused by the AAT on 22 August 2014. He represented himself at the AAT hearing which was held on 29 and 30 January 2015.
However, the AAT affirmed ASIC's decision to ban Frugtniet. In affirming ASIC's decision, the AAT found that a permanent banning order of Frugtniet was appropriate due to his “dishonest conduct over a prolonged period; his failure to show any real awareness of the nature, extent and significance of that conduct; and a demonstrated disregard for compliance with regulatory requirements”.
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