ASIC’s decision to permanently ban former Victorian mortgage broker Rudy Noel Frugtniet from engaging in credit activities has been endorsed and extended by the Administrative Appeals Tribunal (AAT).
Not only is Frugtniet permanently banned from engaging in any credit activities, the AAT decision now also permanently bans Frugtniet from performing any function involved in engaging in credit activities or controlling another person who engages in credit activities.
AAT said Frugtniet has a track record of dishonest behaviour and is not a fit and proper person to engage in credit activities. AAT also found that it would be inappropriate to leave open any opportunities for Frugtniet to participate in the credit industry.
ASIC originally banned Frugtniet in June 2014 after finding that he had provided misleading information in a credit licence application and failed to provide full disclosure.
“The honesty of mortgage brokers underpins the home loan and credit industry,” said Sarah Court, ASIC deputy chair. “Individuals with a long history of dishonest behaviour should not be in the industry and ASIC is committed to ensuring they are removed when they are discovered.”
