Australian authorities nail two Ponzi schemes, shuts their sites down and freezes funds

Matthew Beresford even went to the extent of advertising his ‘scheme’ on the radio across Melbourne.

On 13 October 2020, on application by ASIC, the Federal Court made orders restraining Matthew Alan Beresford from carrying on a financial services business and suspending the websites of Maxwell Financial Services and Asset Capital Holdings.

The Federal Court also made orders to freeze all bank accounts associated with Maxwell Financial Services and Asset Capital Holdings and has restrained Mr Beresford from travelling outside of Australia.

ASIC alleges, in late 2019, Mr Beresford established Maxwell Financial Services which offered financial services, including the opportunity to invest in financial products with high annual returns. He offered these products and services through a website, a Facebook page and advertised on Melbourne radio station, 3AW.

The Maxwell Financial Services website stated that its representatives held an Australian financial services licence (AFSL) and that the business was associated with ASIC and the Australian Prudential Regulation Authority (APRA).  ASIC alleges that these representations are false and that the business has been operating without the necessary AFSL. ASIC also alleges that a significant amount of money raised from retail investors has been dissipated.

ASIC further alleges that another business, and associated website, called Asset Capital Holdings, was established by Mr Beresford in September 2020 and offered financial services without holding the necessary AFSL.

On 20 October 2020, the Federal Court extended the orders restraining Mr Beresford from carrying on a financial services business and freezing relevant bank accounts and requested that the webhost of the Maxwell Financial Services website make it inaccessible to the public. The matter is listed for a further hearing in the Federal Court on 8 February 2021.

Mr Beresford has been arrested and charged.

ASIC has stated that if anyone believes they have lost money associated with this matter, they should report misconduct to ASIC via ASIC’s website.

This action is not related to the following companies:

  • Maxwell Financial Services Pty Ltd ACN 109 836 400, which holds an Australian credit licence; or
  • Asset Capital Holdings Pty Ltd ACN 104 792 234.

According to the court order, no funds are allowed to be transferred to or from any bank accounts, and all of those involved with the defendant and the defendant himself are prevented until February 5, 2021 from using any passport as ID to open bank accounts, and from obtaining replacement passports.

Australia’s authorities have been extremely steadfast when it comes to dealing with Ponzi schemes via the courts. A notable example was rather cheesily named Aussie Rob and his outlandish Lifestyle Trader scheme, which was a well known Ponzi scheme in the FX business, promising high returns and selling useless software to unsuspecting retail novice traders.

ASIC put an end to that with severe consequences for its perpetrator, however since then, ASIC has been very much on the warpath when it comes to flagrant attempts to fleece unsuspecting traders and investors.

Read this next

Market News

Stock Market Analysis: Is NVDA Losing Its Leadership?

Since the beginning of the week, the S&P 500 Index (US500) has seen a modest increase of about 0.58%, whereas NVDA’s share price has experienced a decline of approximately 3.8%. This recent divergence raises concerns among Nvidia stock investors — could it signify a loss of NVDA’s market leadership?

Industry News

ESG: Australian regulator wins first greenwashing court case against Vanguard

Vanguard admitted that a notable portion of the securities within both the Index and the Fund did not undergo the promised ESG scrutiny.

Fintech, Uncategorized

BitMEX integrates HALO from Solidus Labs for cross-market surveillance

““The recent approval of the Spot Bitcoin ETF has piqued the market’s interest. As a result of price volatility, the trading volumes for crypto derivatives have gone up substantially. HALO, with its advanced technology and crypto-native detection architecture, will enable BitMEX to smoothly and safely scale trade surveillance across its increased trading volumes and provide the necessary safeguards for new product launches.”

Reviews

IUX Broker Review

IUX, recently rebranded from IUX Markets, stands as a multi-asset Forex broker recognized for its regulatory compliance across various jurisdictions.

Industry News

Horizon Software rebrands to Horizon Trading Solutions

“Horizon Trading Solutions has seen accelerated global growth over the past year to meet the rising demand for our trading solutions and built-for-purpose technology offering. The choice to rebrand represents a key part of this development, while maintaining our heritage and history in the industry.”

Market News

USDJPY has surged to levels last witnessed in 2022. Should we consider opening a short position?

The recent resurgence of the US dollar has propelled USD/JPY to new heights, touching levels not seen since 2022. This surge comes against the backdrop of stable short-term yields and ongoing economic data that fails to signal a significant slowdown, prompting questions about the extent of current monetary easing measures.

Digital Assets

DED Trends on Twitter After Memecoin Snapshot Announcement

Polkadot-backed community coin #DED, made it to the trending charts on X, demonstrating community’s engagement and interest behind the memecoin. 

Digital Assets

BlockDAG Presale Nears $10 Million Amid Toncoin’s Momentum, Green Bitcoin’s Presale, and the Rise of Other Top Cryptos

This article will examine three top trending topics: Toncoin’s potential, Green Bitcoin’s innovative presale, and BlockDAG’s sustainable mining approach. These cryptocurrencies take centre stage for their uniqueness and innovation.

Digital Assets

Coinbase scores minor victory vs SEC, but lawsuit to proceed

A federal judge in Manhattan, U.S. District Judge Katherine Polk Failla, ruled on Wednesday that the U.S. Securities and Exchange Commission’s (SEC) lawsuit against Coinbase can largely proceed.

<