ASIC bans ex-broker for ‘misuse of premiums’ – Regulatory & Government – Insurance News

ASIC bans ex-broker for ‘misuse of premiums’

6 March 2023

The Australian Securities and Investments Commission (ASIC) has permanently banned a former insurance broker for misusing client premiums totaling $41,000 for his own benefit.

ASIC found that Justin Edward Hampshire of Sydney engaged in dishonest conduct between November 2015 and April 2019 while acting in his capacity as an authorized representative (AR) of Ausure Pty Ltd and as the sole director and shareholder of Balanced Risk Pty Ltd, a corporate AR of Ausure.

The regulator said Mr Hampshire wrongly directed his clients to pay premiums into a business account he controlled when the money should have been paid straight into Ausure’s trust account.

“Mr Hampshire misappropriated $41,000 of four of his clients’ insurance premiums for his own benefit,” ASIC said in a statement today.

ASIC found that Mr Hampshire was not a fit and proper person to provide financial services, control an entity carrying on a financial services business, or perform any role involved in the conduct of a financial services business, and likely conflict with a financial service. law

Mr Hampshire is currently facing criminal charges for fraud-related offences, which are being prosecuted by the NSW Office of the Director of Public Prosecutions following a police investigation, ASIC said. The regulator said it understood the charges were listed for trial in Newcastle during the week of September 4.

Mr Hampshire has the right to appeal to the Administrative Appeals Tribunal for a review of ASIC’s decision.

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