BFCSA Blog

Andrew Hastie MP Federal Member for Canning PO Box 968 Mandurah WA 6210   Dear Mr Hastie   The Sterling Group Collapse and ASIC Fiasco: $28.6 Million Compensation   I am following up on my email and letter dated 14th July 2019. I do not want to be fobbed off with a reply from an assistant. It is time to man up, stand up for us and fight for us. Do you remember this from your first speech in Parliament:   “I have been taught how to identify a problem, create a solution and then work closely with others to get things done. I have not been afraid to ruffle feathers when needed and I am no stranger to accepting responsibility”   We need an immediate solution to the problem of over 100 elderly retirees who have lost their life savings and potentially losing the roof over their heads through no...

Letter to Porter, Cormann, Di Natale, Katter, Hanson, Lambie  and any one else I think of   THE STERLING GROUP COLLAPSE: $28.6 Million Compensation ROYAL COMMISSION INTO The Australian Securities and Investment Commission Dear Mr Porter MY husband and myself are victims of the Sterling Group collapse along with 100 other tenants, landlords and investors. Most of these are in Western Australia but there are others in Victoria and Queensland too. I am appealing to you for your help in securing $28.6 million in compensation for these people who have lost their life savings and potentially face the prospect of being evicted from their homes. Many are in very poor health and the stress of this situation is unbearable. We did our due diligence before we entered into the Life Lease and nothing seemed amiss. This was where we were going to live peacefully in retirement. Little did we know that...

Prime Minister of Australia Hon Scott Morrison MP     THE STERLING GROUP COLLAPSE: $28.6 Million Compensation ROYAL COMMISSION INTO The Australian Securities and Investment Commission (ASIC)   Dear Prime Minister   Firstly, I am requesting $28.6 million in compensation from ASIC or the Treasury for the victims of the Sterling Group. I previously wrote to you on 14th July concerning the dreadful situation that myself and over 100 other Life Leases tenants find themselves in. Decent, hard working individuals who paid their taxes, served their country and had a go at shaping Australia into the great country it is today. Where is the FAIR GO for us?   Landlords, as well as Tenants, in WA, VIC and QLD are suffering in this situation and the intention to deceive can be found in every aspect of Sterling’s operations. Rents were inflated and no risks were explained to anyone; this is a...

  7 August 2016   Dear Mr Cormann, I am one of the many Retirees caught up in the Sterling New Life debacle which has left us with all our money stolen by the people who set the company up and by using our hard earned funds lost it all with very bad management. This is a very stressful thing to deal with especially when we are of an age that we have done our bit for Australia and invested our hard earned money with the expectancy of a secure future with a 40 year lease.  In my eyes this is criminal and fraudulent behaviour and those involved be dealt with accordingly. We are demanding $28.6 million be paid to us all asap.  Next week would be good Many of the Retirees are battling with ill health and two of us have both lost our Husbands this year.   As if that...

7th August 2019  The Hon Mathias Cormann MP   Minister for Finance   The Sterling Newlife Debacle   Dear Sir  I have no doubt you have been briefed on the Sterling debacle, so I will not go into details here, however I would like to put forward a number of points    Australians are very generous people, we are very quick to help other countries in time of disasters.  We also give generously to other countries in the form of monetary aid, examples of this is Indonesia $300 million per year, Palestinians $43million a year (despite the fact they want to kill us).   In fact Australia will spend over $4 billion dollars this year on overseas aid.    I do not object to this as we are a wealthy country, however I do object to your helping others to the detriment of our own people   One group of people who need...

4th August 2019, PRIME MINISTER OF AUSTRALIA THE STERLING GROUP COLLAPSE: $28.6 Million Compensation ROYAL COMMISSION INTO The Australian Securities and Investment Commission (“ASIC”) Dear Prime Minister, As Parliament closes once again, Mr Frydenberg has written an inappropriate response to the victims of Sterling collapse. He is falsely and mischievously claiming the Sterling collapse is a State issue. The long list of Federal issues re-recorded on page 2 and 3 of this letter. Secondly, he is suggesting the Ponzi structure is a civil matter, when clearly, the deception involved is a highly recognisable criminal matter. The Treasurer has been gravely misinformed, to the detriment of the aggrieved consumers. Statements made by the Treasurer in public are inconsistent with active Consumer Protection. It matters not whether the Treasury or ASIC pay the $28.6 million compensation we seek. Yet these payments must be made within weeks, not months. Two hundred elderly people need...

SENATOR MATHIAS CORMANN  Dear Mr. Cormann,    RE:          URGENT COMPENSATION FOR VICTIMS OF STERLING FIRST GROUP COLLAPSE                 ROYAL COMMISSION into ASIC    I am writing to you in hope that someone in government takes the above case seriously. We are after all Australian citizens and you, as government, work on our behalf and for our good.  I have written letters to ASIC, the Treasurer, the Prime Minister, all posted 6 weeks ago, but no replies! My story in short: In 2016 I invested all I could borrow against my almost fully paid off house in Sterling First , an Australian company that supposed to provide services for Australian people– I did my due diligence and went through all of the provided documents. Their Information Memorandum stated that company was expanding rapidly, was innovative, with promising future, with a great cause of providing so needed affordable accommodation to retirees, and where...

  I AM VERY VERY ANGRY and DISGUSTED with ASIC and our MP Mr Hastie:  THIS IS CRIMINAL NEGLIGENCE not Civil. Andrew then said its a State Issue - wrong again Andrew - organised Crime is a FEDERAL ISSUE. We are in the Autumn of our lives.   We thought that we had our forever home. We trust people to be honest. We don't think someone would lie And take our life savings. WELL IT HAS HAPPENED.........STERLING FIRST PROMISED EVERYTHING GAVE NOTHING AND STOLE EVERYTHING.   We are not the only ones who have been ripped off.     I will talk about us, but this includes 100's of people.    Pensioners and retirees ;  We have all worked....   Paid taxes.   Had families.     We went into a life lease situation for 40 years.      Sterling First took our money that was supposed to go into a TRUST FUND....... What a Joke...

Dear Mr L’Estrange   I believe you know my uncle, Graeme through church connections.  He asked me to forward this email to you which I have sent to Liza Harvey.  My father, Graeme’s older brother, is one of the victims of this Sterling First collapse and has lost over $200,000 plus the uncertainty as to the lease arrangements and possibility of being evicted from his residence in Southern River, and I am sure you must be very aware of all affected retirees’ plight from recent media reporting.  I am sending you this same email in hope that you and Liza may be able to flex your muscles and have a strong influence on getting a speedy resolution by way of compensation to all who have lost their life savings and/or investments, or rental income via ASIC, who were clearly negligent in allowing these past criminals to register new businesses.     I...

Hon. Lisa Harvey MP Leader of State Opposition of Western Australia Dear Mrs Harvey   I am emailing you on behalf of the victims, my father is one of these victims, of this heinous crime known as Sterling First, the perpetrators of whom were past known criminals from previous collapses (Westpoint) where millions of dollars from everyday Australian investors disappeared.  It seems that the government body, ASIC, who are supposed to be monitoring illegal financial practices, are completely incompetent and allowed these criminals to register and set up the subsequent scheme under the guise of ‘looking after retirees’ interests’.     The following is a quote from Sterling First’s Information Memorandum (IM) 2017:  “The Company believes its key strengths include:  • Exposure to secular growth in older Australians’ demand for affordable housing  • Innovative and proven solution to retirement living within the wider community  • Recurring and reliable cash flow from property and...

13 July 2019     Prime Minister of Australia Hon. Scott Morrison MP Department of Prime Minister and Cabinet P O Box 6500 CANBERRA  ACT  2600   Dear Mr Morrison Re: Sterling New Life’s Disgraceful Collapse and ASIC’s Neglect on Behalf of Australian Consumers “I have always believed in miracles!  How good is Australia and how good are Australians?  This is the best country in the world in which to live and it’s those Australians we have been working for the last 5 ½ years…..  It has been those Australians who have worked hard every day; they have their dreams, they have their aspirations to get a job, to get an apprenticeship, to start a business, to meet someone amazing, to start a family, to buy a home, to work hard and provide the best you can for your kids!  TO SAVE FOR YOUR RETIREMENT AND TO ENSURE THAT WHEN YOU...

THE JONES GANG:  Like Father like Sons.  Aided by cast of characters all WELL KNOWN TO ASIC for up to 20 years Stolen millions and each company collapsed............. The Liquidators' Goldmine   ASIC CHAIRMEN must be charged with CRIMINAL NEGLIGENCE and the Regulator dismantled immediately My wife and I first heard of Stirling New Life through an advert placed in West Australian newspaper .We contacted them and had a meeting in our home with Mark McKeown and from there had a viewing with Laurie Ferris at 4A Wayside Crt Ravenswood.  We were told by Laurie that any monies we paid would go into a trust fund run by Perpetual Trustees which appealed to us very much. I had only just retired and my wife was on Newstart (and still is ). We have since been told Mr Ferris and Mr Bell were well known to ASIC 18 years ago re these...

The Hon Scott Morrison MP Prime Minister Parliament House CANBERRA ACT 2600 https://www.pm.gov.au/ July 20, 2019 Rank Misrepresentation in Aged People’s Accommodation Promotion: An Appeal for Restitution Dear Mr. Morrison, I am writing out of concern for the hundreds of retired people who have been defrauded by the actions of Sterling New Life and its parent company Sterling First (Aust) Limited of 19 Lyall Street, South Perth, WA 6151, which is now in Administration with over $20 million of investors’ money missing. Founded in 2011, Sterling First combined “the two disciplines of property and funds management … and pioneered a range of both investment and housing opportunities to suit a variety of different lifestyles and financial standings” (from Sterling First website). Sterling First described the product it marketed to the public, Sterling New Life (SNL), as “an alternative to traditional downsizing options which would result in real cash being freed up...

16th July 2019  PRIME MINISTER OF AUSTRALIA Hon. Scott Morrison Department of Prime Minister and Cabinet PO Box 6500  Canberra ACT 2600   Dear Prime Minister, Mr Morrison   The Sterling Group Collapse and ASIC Fiasco: $36 Million compensation    My husband and I are victims of the Sterling Group Collapse and ASIC Negligence.   In February 2018 we invested $158.000 being all of our savings into Sterling New Life's.40 year lease plan through Silverlink Investments.   We wish to express our absolute disgust at ASIC who as the Federal Regulator failed us dismally. Had they done their job properly and taken appropriate action when they were first made aware of this scam, none of us would be involved in this shameful debacle.  We have been honest, hardworking and law-abiding Australian citizens and this venture was to set us up for our twilight years, to enable us to live safely and independently....

PRIME MINISTER OF AUSTRALIA Hon. Scott Morrison MP Department of Prime Minister and Cabinet P O Box 6500 Canberra ACT 2600   Dear Mr Morrison, I am a 70 yr old pensioner, who invested the last of my superannuation ($4000) in shares of Sterling Group. 18 months ago, I had to return to part time work to make ends meet. March of this year I was in financial difficulties and contacted Brian Ruzich at Stirling Income Trust told him of my difficulties and said I needed to take my investment out. Mr Ruzich told me I would be better off to wait as the company was going on the share market in May. Regrettably I followed his advice and in May was informed the company had collapsed. I now have trouble sleeping at night due to financial worries, this is affecting my efficiency at work which then causes more concern and...

Regulators 'not awake' as banks behaved 'appallingly': Costello By business reporter Stephen Letts Updated 29 Aug 2018, 1:23pm Former federal treasurer Peter Costello has issued a scathing critique of Australia's corporate regulators, saying they were "not awake at the wheel" as the big banks behaved appallingly. Key points: Former treasurer Peter Costello says bank regulators were not awake at the wheel Tighter credit, more expensive financial advice and less profitable banks were the likely royal commission outcomes Banks expected to recoup rising offshore funding costs with out-of-cycle rate rises expected   Mr Costello said the bank royal commission would probably mean tougher regulation and lower profitability for the bank sector, but he saved his biggest serve for the likes of the Australian Securities and Investments Commission (ASIC) which reported to him in his days as treasurer. Mr Costello said evidence presented at the banking royal commission made it clear that some of the...

Dear Mr Morrison   Stirling Group Collapse  This is an SOS from my wife and myself who, along with many others, have had their lives and independence destroyed by the Sterling Group collapse, aided and abetted by ASIC. The regulator callously chose to let the Sterling Group carry on for many years with their fleecing of seniors and other innocent people of their life savings, without doing what they are supposed to as corporate regulators and bring these types of businesses to justice. ASIC failed to warn the public of their findings with regards to Sterling New Life and let these criminals thrive like the plague. So ASIC, coining a phrase, turned  a blind eye, as they just let the same “cast of characters” continue setting up under an umbrella of companies to eat away at more and more unsuspecting buyers. This is criminal at the very least. So, to put...

Dear Mr Morrison,   Re: The Sterling Group collapse and ASIC Fiasco: $36 Million Compensation   I am writing to you on behalf of my mother who has been one of the pensioners caught up in the collapse of the Sterling Group and lost $244,000 of her life savings due to the total negligence of ASIC in not warning consumers when they knew of the likelihood of company failure and breaches of Corporation Law back in 2015.  ASIC has failed to protect vulnerable consumers like my mother and the 100’s of other pensioners caught up in this fiasco.   Consumer Protection in Australia has been totally neglected and is in utter chaos and vulnerable consumers are the biggest target to the white collar criminals that have stolen my mother’s money that she has worked so hard for all her life.  She now faces a future of hardship and reliance on her...

The Hon Prime Minister,  Hon Mr Scott Morrison MP,  Parliament House  CANBERRA, ACT 2600.    The Total failure of ASIC to prevent the Robbery of Life Savings from Vulnerable Pensioners and Retirees when the collapse and Receivership of The Sterling New Life Company and Associates occurred.    Sir, first let me congratulate you on your ascension to the Prime Ministership of this wonderful country of ours.  Earlier, when you were Treasurer, you would have had regular meetings with ASIC representatives to check on the actions of that authority, as will the new Treasurer, the Hon Josh Frydenberg or his current representatives.     Both of you seem to have had a breakdown in this communication, as ASIC DOES NOTHING to protect the vulnerable in our society from the depredations of PONZI scheme rip-off merchants who have stolen the life savings of the vulnerable.    ASIC’s only protection appears to be to call out ‘Caveat Emptor" to...

Dear Prime Minster   I am a victim of Sterling NO Life.  I have lost everything I own I cannot believe that ASIC has allowed this to happen. No Australian deserves a neglectful and criminal regulator like ASIC. We are demanding $36 million in 5 weeks before we are thrown out of our homes. DO NOT MAKE US BEG.  These two people Jones and Son were free to trade in Ponzi businesses and well known to ASIC and had done this some years prior  This has caused major chaos in the live’s of retirees and white-collar criminals have caused many of these poor souls to be hospitalized and Doctor’s visits for stress related issues. We are united and all of us are suffering.   Your Government must act fast to resolve this major problem within the retirees who are stressed to the limit and some have threatened to end it all...