Christopher Robert Con Foo has been banned by the Australian Securities and Investments Commission (ASIC) from engaging in credit activities and providing financial services for seven years.
Con Foo, a former finance business manager, arranged car finance and insurance for customers buying vehicles from South Yarra BMW, a car dealership operated by Bayford Group Pty Ltd.
ASIC found that, in October 2015, Con Foo forged letters in accountants’ names and provided those letters to BMW Australia Finance Ltd, in support of car finance applications for three of his customers.
The letters provided information about the customers’ income and intended use of the cars being purchased. In two instances, the customers were not clients of the accountants concerned and the letters were prepared without the knowledge of those accountants. In one instance, a genuine accountant’s letter was altered to falsify the customer’s business income without the knowledge of the accountant or customer, ASIC says.
Con Foo has the right to seek a review of ASIC’s decision to the Administrative Appeals Tribunal.
Meanwhile, Thuy Thi Vu, a former finance analyst at the Darwin branch of Alldrive Holdings Pty Ltd, trading as United Financial Services (WA), has been convicted and sentenced in the Local Court in Darwin on nine charges of submitting false or misleading information in support of loan applications.
Vu was convicted after admitting to providing information and documents in support of nine loan applications to Esanda, a division of Australia and New Zealand Banking Group Ltd (ANZ), knowing that they contained false or misleading information.
Generally, the loan applicants had been referred to United Financial Services WA (UFS) for finance by car yards in the Northern Territory as they were seeking finance.
Vu submitted loan applications and documents which misrepresented the address of the loan applicants by changing their postcodes from remote postcodes to suburban postcodes.
She was convicted and required to enter into a recognisance in the sum of $2000 to be of good behaviour for a year – a good behaviour bond.
The Commonwealth Director of Public Prosecutions (CDPP) prosecuted the matter.
“Documentation provided by third parties in support of loan applications must reflect the consumer’s true personal and financial circumstances so that lenders can accurately assess their ability to repay a loan,” ASIC deputy chairman Peter Kell says.
“Any actions taken by brokers or intermediaries to deliberately undermine this process is a criminal offence and ASIC will ensure offenders are brought before the courts.
“Dishonest conduct exposes consumers and credit providers to financial risk.”
Earlier this month ASIC also banned Adam Edward Greene from engaging in credit activities after he wrote and submitted loans for customers buying vehicles from Combined Motor Traders, a Cranbourne used-car dealership, between 2014 and 2015.
ASIC found that four loans submitted by Greene, and approved by Esanda, contained false information and two of those loans contained false documents that were not given to him by the applicants.
ASIC says its investigations into the industry are ongoing.
