Australian Securities & Investments Commission penalises three AFS licensees AUD 31,300 each for allowing unregistered advisers to give personal advice

The Australian Securities & Investments Commission (ASIC) issued infringement notices to three Australian financial services (AFS) licensees after their authorised financial advisers gave personal advice to retail clients while unregistered. Each licensee paid an infringement notice penalty of AUD 31,300, with ASIC noting that payment is not an admission of guilt or liability. The notices were issued to Australian Advice Network Pty Ltd, IA Advice Pty Ltd and Sherrin Partners Services Pty Ltd, with penalties paid on 5 March 2025, 21 March 2025 and 24 March 2025 respectively. ASIC said it had reasonable grounds to believe each licensee authorised an adviser to provide personal advice in relation to relevant financial products while the adviser was unregistered, contrary to the registration requirement in place since 16 February 2024; it also took into account that each licensee registered the adviser and breach reported to ASIC after becoming aware. Copies of the infringement notices have been published on ASIC’s Infringement notices register. ASIC said it is actively monitoring ongoing industry compliance and reminded licensees and advisers to verify “registered” status on the Financial advisers register before providing personal advice, including re-registering an adviser when they change authorising licensee. It also noted that where an adviser gives personal advice while unregistered, ASIC must either refer the adviser to the Financial Services and Credit Panel or take its own regulatory action.