ASIC has suspended the Australian financial services (AFS) licence of Huntley Management Limited (HML) for 12 months, effective 21 March 2023.
The licence authorised HML to deal in interests in managed investment schemes to retail and wholesale clients, and to provide general financial product advice to wholesale clients. HML is the responsible entity of twelve registered managed investment schemes, including RNY Property Trust (ARSN 115 585 709).
ASIC suspended the licence because HML had failed to lodge financial statements and compliance plan audit reports for the 2021 and 2022 financial years for RNY Property Trust. ASIC found that HML failed to comply with the financial services laws and is likely to contravene its obligations again in the future.
HML applied to the Administrative Appeals Tribunal (AAT) on 23 March 2023 seeking a stay and review of ASIC’s decision. The AAT has, with ASIC’s agreement, granted a stay of the suspension with respect to HML’s capacity to issue further interests in the Link Mortgage Fund (Link). This is pending the AAT’s review of ASIC’s decision, so that existing investors in Link are not adversely affected by the suspension. The stay does not apply to HML’s other schemes. The hearing for a review of ASIC’s decision is set on 2 June 2023.
The terms of ASIC’s suspension order permit HML to provide financial services that are necessary for, or incidental to, the day-to-day operations of its twelve registered managed investment schemes but not to issue any new interests in the schemes, with the exception of Link. The suspension order also allows HML to transfer or wind up any of its schemes.