ASIC acts to cancel licence for fund linked to Jeff Worboys who ran collapsed stockbroking firm Halifax Investment Services

The corporate regulator has cancelled the licence for a second major investment fund run by Gold Coaster Jeff Worboys.

Jeff Worboys pictured with Pat Worboys at McLaren Polo by the Sea in Main Beach earlier this year. Picture: Regina King

THE corporate regulator has cancelled the licence for a second major investment fund run by Gold Coaster Jeff Worboys and linked to failed stockbroking firm Halifax Investment.

The Australian Securities and Investments Commission said today it has acted to cancel the financial services licence for Australian Mutual Holdings Limited. It follows AMH, where Mr Worboys is joint director with Matthew Barnett, being placed into administration last month.

ASIC said the licence was cancelled on July 5 with the terms allowing AMH to provide services necessary to the winding up of Australian Pink Diamond Fund, Accelerated Trend Hedge Fund and Trident Global Growth Fund.

The Tridend fund had 13.78 per cent of funds invested with Mr Worboys’ other failed stockbroking firm, Halifax Investment, which is in liquidation with 12,000 investors in limbo over their $211 million nest eggs.

Jeff Worboys ran faild stock broking firm Halifax Investment. Photo: Supplied

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As many as 12,500 trading accounts belonging to up to 10,000 active clients in three countries have been frozen since November in the collapse of Halifax Investment, which has closed its offices in Southport, Perth and Melbourne.

ASIC banned Mr Worboys and Mr Barnett in April from providing financial services for six years.

It found Mr Worboys and Mr Barnett did not exercise the degree of care and diligence required and failed to act in the best interests of the members of the Courtenay House Capital Investment Fund.

AMH was formerly the responsible entity for Courtenay House Capital Trading, which collapsed and took $209 million from 780 investors, including the Mayor of Sydney’s Sutherland Shire.

Australian Mutual Holdings, run by Gold Coast man Jeff Worboys, was placed into administration last month.

HALIFAX INVESTMENT SERVICES TO BE WOUND UP

ASIC Commissioner Danielle Press said it is a priority for ASIC to ensure funds take their duty to act in the best interest of investors seriously.

”This duty of loyalty has been described as the most fundamental rule of trust law,” she said.

“The community expects responsible entities to fully comply with the best interest duty and ASIC will take legal action to enforce this.”

Peter Paul Krejci, of BRI Ferrier, has been appointed voluntary administrator of AMH.