Australian regulator ASIC has just announced that it has obtained final orders in the Supreme Court of Queensland against Daniel Farook Ali, former director of DanFX Trade Pty Ltd (DanFX).
ASIC commenced proceedings in 2017 alleging that Mr Ali, through DanFX, operated an unregistered managed investment scheme known as the Daniel Ali Scheme, which raised approximately $13 million from more than 200 investors.
On 23 July 2018, the Court found that:
- Mr Ali, DanFX and two related companies operated the Daniel Ali Scheme, which was a managed investment scheme that was required to be registered under the Corporations Act but was not so registered;
- Mr Ali contravened the Corporations Act by operating the Daniel Ali Scheme without holding an Australian financial services licence; and
- Mr Ali contravened the Corporations Act by managing DanFX and two related companies, despite being disqualified from managing corporations due to a prior conviction for fraud.
The Court permanently restrained Mr Ali from managing corporations.
ASIC’s investigation in relation to Mr Ali is continuing.
The official announcement can be seen here.