Australian Financial Service Kalkine Pty Limited must appoint an independent compliance adviser to address Australian capital markets and investment (ASIC) that Kalkine’s customer service representatives have given no permission tips.
New conditions have been imposed on the license of the Kalkine Australian Financial Services (AFS) to ensure compliance with its obligations as an AFS license holder. These conditions require Kalkine to involve a consultant to review, evaluate and report ASIC if Kalkine’s interactions with its customers comply and its supervision mechanisms are sufficient.
Where deficiencies are identified, the independent compliance consultant will make recommendations to address the shortcomings to be applied by Kalkine.
Asic had concerns that:
- Kalkine representatives, based in India, may have provided personal advice in the context of the sale of subscription services when Kalkine’s AFS license only authorized it to provide general advice on financial products,
- Kalkine representatives may have misled customers the type of advice given, provided they are general advice, but leaving customers with the impression that advice was addressed to their personal conditions,
- Kalkine has failed to do all the necessary things to ensure that the financial services covered by the AFS license are effectively provided, honestly and fairly, possibly, but without limiting the assurance that the tips given by its representatives were appropriate and within the scope of the license and the license and leave of the license and the license.
- Kalkine’s procedures to ensure that its representatives were complying with law when interaction with consumers were inadequate.
Kalkine agreed with the new terms of license imposed.
Kalkine is a Sydney -based financial services team, which provides stock investigations reports through a subscription service available on its website. He has permitted AFS 425376 from September 11, 2012, allowing him to provide general advice only.