hometrader course-feedback, page-18

re: hometrader ... asic pounces on shonky outfit Hmmm ... serious stuff as the breaches relate directly to HomeTrader core business activities.

From the ASIC website ...

04-331 ASIC accepts enforceable undertaking from Capital Intelligence

Tuesday 12 October 2004
The Australian Securities and Investments Commission (ASIC) today accepted an Enforceable Undertaking from Capital Intelligence (CI), also known as Hometrader Ltd, to address a range of compliance failures.

The Western Australian based company is the holder of an Australian financial services (AFS) licence. Under the AFS licence, CI is able to demonstrate and supply certain share trading software and provide factual reports and analysis on listed companies.

ASIC commenced an investigation into CI following surveillance undertaken at the Adelaide Money Expo.

ASIC's investigation identified a series of systemic compliance failures at CI, including the unauthorised provision of share trading systems to CI clients and unauthorised marketing and selling of certain software. ASIC also identified the use of potentially misleading statements in the marketing of one of the unauthorised share trading systems offered by CI.

As a result, CI has given ASIC an Enforceable Undertaking under which CI is required to write to its clients who purchased the share trading system known as 'System Pack 2003' and refund the purchase price to those clients who wish to obtain a refund.

CI has also undertaken to:

+establish and maintain compliance measures that ensure it complies with its various obligations including those arising under its AFS licence, the Corporations Act 2001 and the Australian Securities and Investments Commission Act 2001;

+appoint an appropriately qualified internal compliance officer;

+appoint an independent consultant to report on CI's internal controls, compliance systems, procedures, supervision and training of its representatives;

+obtain independent audit opinions in relation to the reports of the independent consultant; and

+provide to ASIC reports from both the CI board and the independent auditor to assist ASIC in determining that CI has and will continue to meet its compliance obligations.
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Cheers ... tight stops.


This is only my view ... read the red stuff.