ob体育 has permanently banned Mr Rudy Noel Frugtniet, a former Victorian finance broker, from engaging in credit activities after it was found he provided misleading information and a lack of full disclosure on a credit licence application.
Mr Frugtniet is a former director of Unique Mortgage Services Pty Ltd (UMS) and was formerly the responsible manager, fit and proper person and key person for UMS鈥� Australian credit licence.
Mr Frugtniet was banned after ob体育 found he was not a fit and proper person to engage in credit activities.
ob体育鈥檚 decision was based on Mr Frugtniet鈥檚 lack of full disclosure and misleading answers given in relation to questions on UMS鈥� application for a credit licence, as well as Mr Frugtniet鈥檚 adverse disciplinary history, which included his:
- involvement in the breach of a company鈥檚 travel agent鈥檚 licence
- making of a false declaration to the Migration Agents Registration Authority
- two rejected applications to be admitted as a solicitor
- making of false statements on Newstart allowance application forms
- misrepresenting himself as a lawyer with standing to appear in court
- conveyancing licence being cancelled, and
- making of a false or misleading declaration to the Tax Practitioners Board.
ob体育 found that Mr Frugtniet鈥檚 conduct is incompatible with the good character, honesty, integrity and judgement required of a person permitted to engage in credit activities.
Deputy Chairman Peter Kell said, 鈥楾hose who deliberately provide misleading information in their credit applications simply should not be in the industry.
鈥榃here we come across instances like this, ob体育 will act quickly to ensure they are removed from the industry.鈥�
ob体育鈥檚 investigations in relation to this matter are ongoing.
Mr Frugtniet has the right to appeal to the Administrative Appeals Tribunal (AAT) for a review of ob体育鈥檚 decision.
Editor's note:
On 25 July 2014, Mr Frugtniet filed applications in the AAT for a review of ob体育's decision. The application has been listed for conference on 22 September 2014.
Editor's note 2:
As of September 2014, no date has been set down for the hearing of Mr Frugtniet's application.
Editor's note 3:
The AAT has set down two days for a hearing in this matter, to be held on 29 and 30 January 2015.
Editor's note 4:
Mr Frugtniet appeared in the AAT on 29 and 30 January 2015, and now has an additional 14 days to lodge further written submissions. On receipt of Mr Frugtniet's submissions ob体育 will have 14 days to respond.
Editor's note 5:
On 6 March 2015, the AAT upheld ob体育's decision to permanently ban Mr Frugtniet from engaging in credit activities (refer: 15-049MR).
Editor's note 6:
On 7 April 2015, Mr Frugtniet filed a Notice of Appeal with the Federal Court of Australia in relation to the decision of the AAT.
On 22 August 2016, the Federal Court dismissed Mr Frugtniet's appeal (refer: 16-264MR).
On 12 October 2017, the Full Court of the Federal Court dismissed Mr Frugtniet's further appeal (refer: 17-354MR).
On 17 August 2018, Mr Frugtniet was granted leave to appeal to the High Court.
On 15 May 2019, High Court of Australia upheld the appeal (refer 19-116MR).
Editor's note 7:
Mr Frugtniet鈥檚 application for review of ob体育鈥檚 decision was remitted to
the AAT and heard between 17 February 2020 and 3 August 2020.聽The AAT鈥檚 decision is reserved.
Editor's note 8:
On 22 February 2022, the AAT varied ob体育's decision to permanently ban Rudy Noel Frugtniet from engaging in credit activities, to permanently prohibiting him from:
- engaging in any credit activities;
- controlling whether alone or in concert with one or more other entities, another person who engages in credit activities; and
- performing any function involved in engaging in credit activities (including as an officer, manager, employee, contractor, or in some other capacity).
Mr Frugtniet retains a right to appeal the AAT鈥檚 decision (22-030MR).
Editor's note 9:
On 22 March 2022, Mr Frugtniet filed a Notice of Appeal with the Federal Court of Australia in relation to the decision of the AAT.
Editor's note 10:
On 29 November 2022,聽the Full Federal Court heard Mr Frugtniet鈥檚 appeal. The decision has been reserved.
Editor's note 11:
On 17 February 2023, the Full Court of the Federal Court of Australia dismissed Mr Frugtniet's appeal.