ASIC just announced that it has commenced proceedings for recovery of unpaid fines against Fast Access Finance Pty Ltd, Fast Access Finance (Beenleigh) Pty Ltd and Fast Access Finance (Burleigh Heads) Pty Ltd (the FAF Companies).
In March 2017, the Federal Court fined the FAF Companies a total of $730,000, after finding in proceedings brought by ASIC that the FAF Companies breached consumer credit laws by engaging in credit activities without holding an Australian credit license. The FAF Companies operated under a business model where consumers seeking small value loans were required to sign documents which purported to be for the purchase and sale of diamonds in order to obtain a loan. The reality was that there were no diamonds, it was instead a sham designed to avoid consumer credit laws.
ASIC has applied to the Supreme Court of Queensland for orders to wind up the FAF Companies as a result of the non-payment of the fines.
The winding-up applications will be heard in the Supreme Court of Queensland on 28 February 2018.