The Australian Securities and Investments Commission (ASIC) today issued a statement announcing that former Sydney-based finance broker, Jennifer Farias, has been sentenced to a one-year intensive correction order after pleading guilty to 3 counts of loan fraud which resulted in her receiving over $100,000.
ASIC will continue to protect consumers by taking action against those who commit loan fraud.
Farias was the director of Motorcycle Finance & Insurance Pty Ltd (MFI), which arranged finance for vehicles such as motorcycles, cars and jet skis on behalf of its clients.
Forex Trading Disruptor Sees Growth Thanks to Offshore Regulated StatusGo to article >>
According to ASIC, Farias had received $96,270 in loan funds and $10,349.26 in commissions from a credit provider after submitting 10 fraudulent loan applications containing false invoices and false information. Loan funds totalling $20,000 and commissions totalling $4,675.80 were transferred to other persons after being paid to Farias by the credit provider.
The invoices allegedly contained false information that was relied on by the credit provider when approving loans. Farias admitted the relevant loans would not have otherwise satisfied the credit provider’s lending policies or would have been subject to more stringent lending, according to the statement,
ASIC Commissioner Peter Kell commented: “It is vital that those working within the credit industry act honestly and diligently. ASIC will continue to protect consumers by taking action against those who commit loan fraud.”
Since becoming Australia’s national regulator, ASIC has taken 79 actions involving loan fraud, including 60 actions to ban individuals and companies from providing or engaging in credit services or holding an Australian credit licence. Earlier in June, Finance Magnates reported on a further case involving two Sydney traders who were charged for insider trading, illustrating the scope of cases that are handled by ASIC.