The Australian Securities and Investments Commission (ASIC) has extended the suspension of the Sydney-based BBY Ltd‘s Australian Financial Services (AFS) licence from 27 May 2020 to 30 June 2021.
04 June, 2020 | AtoZ Markets – BBY Ltd, formerly known as Burdett Buckeridge Young Limited, was a former stockbroking, corporate advisory and asset management firm. Its headquarter is in Sydney with offices in Adelaide, Auckland, Brisbane, Gold Coast, London, Melbourne, New York, Perth and Wellington.
ASIC Suspends the AFS Licence of BBY Ltd Again
The Australian regulator ASIC has extended the suspension period for BBY Limited’s Australian Financial Services (AFS) licence. The AFS licence suspension is until 30 June 2021, effective from 27 March 2020, said the regulator.
However, the suspension allows BBY to carry out certain activities:
- Clients can use external dispute resolution schemes.
- Clients can also use the National Guarantee Fund.
- The company can transfer the customer’s holder identification number to another market participant with the customer’s instructions, under ASX settlement operating rules.
- The company need to have arrangements with retail customers to compensate for losses or damages incurred due to Corporations Act violations by the company or its representatives.
On 28 May 2015, ASIC first suspended BBY’s AFS licence for three years. After that, on 27 May 2018, ASIC decided to extend the suspension period until 28 May 2019. Again, on 27 May 2019, ASIC decided to extend the suspension period to 31 May 2020. The regulator said:
“Under the Corporations Act, ASIC has the power to suspend or cancel an AFS licence, without holding a hearing. The AFS licence is held by a body corporate which is placed under external administration.”
Last week, ASIC also suspended the AFS licence of Forex Plus Australia Pty Ltd for six months, effective from 5 May 2020. The regulator said:
“The suspension of Forex Plus’ AFS licence is part of ASIC’s ongoing efforts to improve the financial services industry.”
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