BT Funds Management and Asgard Capital Management Fined $3 Million by ASIC

​The Australian Securities and Investments Commission (ASIC) announced today that the Federal Court has imposed civil penalties totalling $3 million against BT Funds Management Limited (BT) ($1.5m) and Asgard Capital Management Limited (Asgard)($1.5m) for charging fees for no service and making misleading statements.

Wanna Know How to Reach Our Audience of Millions at Fazzaco?

According to ASIC, the Court found that a total of 404 customers were harmed by BT’s and Asgard’s conduct between September 2014 and August 2017. And the Court held that the two firms had contravened sections 12DA(1) and 12DB(1)(g) of the ASIC Act, and section 1041H of the Corporations Act, by:

• making false or misleading representations to customers in customer account statements that no deductions of ongoing adviser fees were being made from customers’ accounts after those customers requested to remove their financial advisers from their accounts; and

• ​engaging in misleading or deceptive conduct by providing customers with account statements which did not show that BT and Asgard were continuing to deduct an ongoing adviser fee from customers’ accounts after those customers requested to remove their financial advisers from their accounts.

Also, the Court found Asgard had breached its obligation to do all things necessary to ensure the financial services covered by its financial services licence were provided efficiently, honestly and fairly, and contravened section 912A of the Corporations Act.