ASIC has cancelled the AFS licence of Australian Golden Securities Ltd previously known as AFS Capital Securities Ltd. The AFS licence cancellation came into effect on 21 May 2020.
01 June, 2020 | AtoZ Markets – Australian Golden Securities Ltd is a financial service provider, located in Melbourne, Australia. Its AFS licence was suspended until 21 May 2020. Its licence no. was 363925. According to the Australian Securities and Investments Commission (ASIC), it did not file audit reports for the year ending 30 June 2018. Besides, it did not maintain the organizational capacity or resources necessary to provide the financial services to comply with AFS licence conditions.
Why Does ASIC Cancel AFS licence of Australian Golden Securities?
The Australian regulator ASIC announced that it had cancelled the Australian Financial Services (AFS) licence of Australia Golden Securities Limited which effected from 21 May 2020. However, ASIC said the licence was revoked because the company did not address ASIC’s previous concerns that it was not fulfilling its licensee’s obligations.
“Licensees must maintain the required competence and resources to provide the financial services covered by their licence. They have robust compliance procedures in place to ensure ongoing compliance with their licensee obligations. Under the Corporations Act, ASIC has the power to cancel or suspend an AFS licence if a licensee fails to meet its requirements”, the regulator said.
However, the financial service provider can continue its limited operations until 21 January 2021. Australian Golden Securities must maintain public compensation insurance and Australian Financial Complaints Authority (AFCA) membership for 12 months. However, the company can appeal for a review of the ASIC’s decision at the Administrative Appeals Tribunal (AAT).
Last week, the regulator suspended the AFS licence of Forex Plus Australia Pty Ltd, a financial service provider. Its AFS licence no is 259763. The suspension came into force from 5 May 2020 for six months.
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