APC Securities, Brava Capital face costs following ASIC investigation

Following an investigation by the Australian Securities and Investments Fee (ASIC), two monetary providers firms have been charged in separate proceedings with a number of felony offences regarding the failure to lodge monetary accounts with ASIC.

APC Securities Pty Ltd, previously often known as McFaddens Securities Pty Ltd, and Brava Capital Pty Ltd, previously often known as Dayton Method Securities Pty Ltd, have been charged with:

• three counts of failing to lodge a revenue and loss assertion and steadiness sheet, and
• three counts of failing to lodge an auditor’s report with the revenue and loss assertion and steadiness sheet.

ASIC alleges that APC Securities and Brava Capital every did not lodge their monetary accounts and auditor’s report for every of the monetary years from 30 June 2020 to 30 June 2022.

Each issues have been adjourned to 21 November 2023 for additional point out.

ASIC is actively focusing on breaches of economic reporting obligations as required by the Companies Act. Failure to lodge audited monetary statements could end in cancellation of a licensee’s Australian monetary providers (AFS) licence.

Each issues are being prosecuted by the Commonwealth Director of Public Prosecutions.

APC Securities and Brava Capital are each linked to Sydney businessman David Sutton. Mr Sutton was sole director of APC Securities and co-director of Brava Capital.

APC Securities Pty Ltd has additionally been often known as Dayton Method Monetary Pty Ltd, Avalon Pacific Capital Pty Ltd and McFaddens Securities Pty Ltd and held AFS licence quantity 338 943 between 16 September 2009 and 29 June 2023.

Brava Capital Pty Ltd was often known as Dayton Method Securities Pty Ltd till 31 August 2023 and held AFS licence quantity 382 585.

The utmost penalty for a physique company for every failure to lodge a revenue and loss assertion and steadiness sheet (s989B(2) of the Companies Act) is $1,332,000.

The utmost penalty for a physique company for every failure to lodge an auditor’s report with the revenue and loss assertion and steadiness sheet (s989B(3) of the Companies Act) is $1,332,000.

ASIC completely banned David Sutton on 29 June 2023 from offering any monetary providers, performing any operate concerned within the carrying on of a monetary providers enterprise and controlling an entity that carries on a monetary providers enterprise. Mr Sutton has additionally been disqualified from managing firms for 5 years.