ob体育 has banned Mark Schroeder from providing financial services for six years for his role in numerous compliance failures by Spectrum Wealth Advisers Pty Ltd (Spectrum).
Mr Schroeder was a director, chief executive officer, responsible manager and a key person for Spectrum.
ob体育 found that Mr Schroeder, as the most senior manager at Spectrum and the person primarily responsible for its activities and day-to-day management, was involved in Spectrum鈥檚 contraventions of financial services laws.聽
ob体育 also found that Mr Schroeder is likely to contravene a financial services law in future because of his involvement and responsibility for Spectrum鈥檚 failures and because of his poor understanding of the obligations of providers of financial services, particularly regarding compliance matters.
ob体育鈥檚 surveillance identified serious concerns about Spectrum鈥檚 compliance with its obligations as an Australian financial services (AFS) licensee, and that it failed to do all things necessary to ensure that financial services were provided efficiently, honestly and fairly.
ob体育 found that Spectrum did not take reasonable steps to ensure its representatives complied with the law. The licensee failed to audit its representatives regularly and ensure that its representatives were adequately trained and competent.
Spectrum also did not have sufficient human and technological resources to meet its licence obligations.
ob体育 Commissioner Danielle Press said, 'ob体育 expects that people holding a position of responsibility with an AFS licensee, particularly directors and responsible managers, understand the obligations of financial services providers and make every effort to ensure compliance.'
Shortly after being issued with a notice of hearing, Spectrum ceased trading and its parent company, Freedom Insurance Group, applied to ob体育 to cancel Spectrum鈥檚 AFS licence.
Mr Schroeder鈥檚 banning聽 has been recorded on ob体育鈥檚 publicly available Banned and Disqualified Persons Register.
Mr Schroeder is continuing to seek a review of ob体育鈥檚 decision at the Administrative Appeals Tribunal.
Background
On 21 October 2019, Mr Schroeder applied to the Administrative Appeals Tribunal for review of ob体育鈥檚 banning decision, together with a request for a stay of ob体育鈥檚 decision and for confidentiality orders. A hearing in relation to his request was due to be held on 10 February 2020. ob体育 was notified on 4 February 2020 that Mr Schroeder was withdrawing his request for stay and confidentiality orders.