Australian watchdog slaps 5-year ban on former Linchpin director Paul Nielsen
ASIC has imposed a five-year ban on Paul Nielsen, former director of Endeavour Securities (Australia) Ltd and Linchpin Capital Group Ltd, prohibiting him from providing financial services.
This decision stems from ASIC's investigation into the operation of two managed investment schemes named the 'Investport Income Opportunity Fund'.
On March 15th of 2019, the Federal Court of Australia issued orders against Endeavour, Linchpin, and the two Investport Income Opportunity Funds, that they had contravened multiple provisions of the Corporations Act, leading to their winding up.
ASIC found that Mr. Nielsen's actions as a director included approving investments from the Investport Income Opportunity Fund into related entities, which constituted multiple breaches of the Corporations Act.
Specifically, ASIC determined that Mr. Nielsen:
Failed to act in the best interests of the members of the Investport Income Opportunity Fund.
Used his position to benefit other individuals, whilst also causing harm to the Fund's members.
The banning order against Mr. Nielsen has been publicly recorded on ASIC’s Banned and Disqualified Register.
