Australia's corporate watchdog has succeeded in preventing a key figure from an alleged multimillion-dollar investment scam from leaving the country while investigations continue.
Darren Michael Geddes, the 57-year-old director of Global Investment Marketing Pty Ltd (also known as GIM Trading), cannot leave Australia until March 2026, following orders granted by the Federal Court of Australia last week. The Gold Coast-based businessman did not oppose the application when the Australian Securities and Investments Commission (ASIC) sought the restraint orders.
ASIC Secures Travel Ban for Director Linked to Million-Dollar Investment Scheme
ASIC obtained the travel ban amid concerns Geddes might flee the country and become unavailable for questioning about his company's operations. ASIC is investigating Global Investment Marketing and its current and former directors over what it calls "alleged misappropriation of funds deposited by customers for investment purposes".
The company, which operated under the name GIM Trading, has been linked to losses of almost $8 million since early 2024, according to reports filed with the National Anti-Scam Centre. Investigators believe the firm sold fake bonds to ordinary investors who thought they were purchasing low-risk government and corporate securities.
The scheme appears to have targeted retirees and other investors seeking stable returns through bonds issued by major institutions including HSBC Bank, Barclays, JP Morgan, and the Canadian government. However, none of these institutions confirmed having any relationship with GIM Trading when contacted by investigators.
West Australian retiree Ron Renton lost $750,000 after investing what he believed were legitimate Macquarie and UBS bonds through the company. Sydney chef Alessandro Monti saw his $200,000 life savings disappear after purchasing what he thought were Canadian Government Bonds.
Court Orders Passport Surrender
Under the Federal Court orders, Geddes must immediately surrender all passports and travel documents in his possession to the court registry. He is also prohibited from applying for new travel documents and must hand over any international travel tickets purchased for the next 12 months.
The orders include severe penalties for non-compliance , warning that Geddes faces "imprisonment, sequestration of property or other punishment" if he disobeys. Anyone who knowingly helps him breach the travel restrictions could face similar consequences.
A subsequent court order on September 22 allocated the case to a permanent judge's docket, suggesting ASIC's investigation will continue for an extended period.
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Musical Director Admits Suspicions
The scheme's public face was Stephen Cubis, a musician from New Zealand who served as the company's director for six months until October 2024. Despite being promoted as the company's CEO and attending an Australian Stock Exchange investor day, Cubis told investigators he had no financial background and was paid just $500 per week plus 1% of transfers.
Cubis admitted he suspected fraudulent activity was occurring. “I do,” he said when asked directly whether he believed GIM Trading had acted fraudulently. He claimed his involvement ended after he changed the company's bank account password, causing a falling out with two men who gave him instructions through encrypted messaging.
Records show Geddes took over as director immediately after Cubis left the role in late October 2024. Investigators have been unable to reach Geddes despite multiple attempts to contact him at addresses listed in company records.
Sophisticated Fraud Operation
Cybercrime investigator Ken Gamble called the scheme "one of the most sophisticated frauds" he had encountered in bond investment scams. The company gained credibility by operating under another firm's Australian Financial Services License for four months, making it nearly impossible for ordinary investors to detect problems through standard due diligence.
“Everything appeared to be very legitimate,"”Gamble said. The scheme unraveled only when the Commonwealth Bank detected suspicious activity and began contacting affected customers in late 2024.
The travel restraint orders remain in effect until March 2026 or until further court orders, whichever comes first. ASIC declined to comment on whether additional charges might be filed against Geddes or other individuals connected to the scheme.
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