Australia’s financial regulator, ASIC, has canceled the financial services provider license of The Sharemarket College stock and forex trading educational site for making misleading statements and has banned its responsible managers Graeme Allan Rogers and Jill Rogers.
Graeme Allan Rogers was banned from financial services for four years and Jill Rogers – for three, effective from August 30.
According to the ASIC, The Sharemarket College failed to comply with a number of its obligations as a holder of a financial services license. The site has been making misleading or deceptive statements in relation to a financial product or service and has been providing personal advice, when it only had a license to provide general advice. Furthermore, The Sharemarket College failed to notify the ASIC of significant breaches within 10 days and failed to maintain the necessary competence to provide financial services.
“All AFS licensees need to ensure their culture does not drive poor conduct within their business,” said Greg Tanzer, commissioner of the ASIC. “ASIC will take action against licensees and individuals who fail to comply with their obligations.”
The Sharemarket College has the right to appeal the decisions at the Administrative Appeals Tribunal.
The Sharemarket College is a registered training organization and also had a financial service provider license. The site is offering training programs and seminars on trading in the share market, intraday markets, forex markets, and exchange traded options markets.
The ASIC shadow-shopped the company and found that it was bragging with its success in trading on the share market with an investment portfolio with capitalization of $100 000. The Sharemarket College claimed it was achieving 60% annual return and attributed this success to The Sharemarket College training courses. The financial watchdog, however, found out that there was no investment portfolio and the returns were a myth.
In conclusion the ASIC advises all consumers who have paid for ongoing financial services from The Sharemarket College to seek legal advice and get their money back, if possible.