ASIC has permanently banned a former contracts for difference (CFD) dealer following an investigation.
ASIC's (Australian Securities & Investment Commission) investigation focused on the conduct of Simon Marcus Gundry, of Mornington, and his online investment business SSG Trading during the period 1 January 2007 to 9 December 2010.
It was found that although the business was deregistered on 28 April 2008, Gundry continued to use the SSG Trading business name when he dealt with some of his 15 investors, inducing them to invest $835,168 through his trading platform.
ASIC found that Gundry, who is also under investigation by Victoria Police, had engaged in misleading and deceptive conduct, and induced investors to deal in financial products by providing them with a weekly trade review that indicated investments were performing well. This information turned out to be misleading and deceptive.
'Instead of using the funds to trade, Gundry spent the money on day-to-day living expenses, as well as to fund various payment entitlements to the investors,' said ASIC commissioner Peter Kell.
'We want to ensure that product providers in the financial services sector act with honesty and integrity. If they do not then ASIC will take action to remove them from the industry,' said Kell
Gundry has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision.