Victims are invariably isolated, suffering and acute inability to communicate with each other.
Very little consumer assistance: ASIC has the lists of those affected yet claim an inability to assist. No lists of Co- Investors are being made available to enable consumers to seek collective legal advice. There is a way forward to achieve that result but ASIC’s powers in that area are not being fully utilised to the detriment of the consumer victims. In fact, those powers were used only once in 1999. Ms Brailey first raised this issue with ASIC Commissioners in 1998.
Divide and Conquer Rule: Keeping consumer victims apart only assists the perpetrators. No action taken means more losses on the horizon affecting more and more families. This neglect causes the scams to continue without detection for a longer period of time. The scammers deliver bundles of false promises and massive end losses…….often climbing into billions of dollars. Ponzi scams which are part of a number of those listed below, double in size approximately every four years.
The greater the regulatory neglect in the early stages the more likely the same offenders will set up further Ponzi’s and indeed, other Ponzi hopefuls will copy the process every ten years.
Victims relied heavily upon trust. They relied upon credibility and effective regulations and adequate supervision by regulatory authorities. Mums and Dads, eager for a little knowledge in the area of financial planning, held a strong belief that licences meant supervision of advisers and believed it prudent to seek advice from a qualified and licensed "expert" from the financial services sector.
Victims have expressed anger that the Australian licensing system and its regulators is merely a tick-a-box system with little or no policing and very poor enforcement of law.
Statistics prove villains are rarely brought justice. Those who have lost their homes or superannuation or savings feel let down by the system designed to protect their interests.
IF YOU KNOW OF OTHER SCAMS OR HAVE LOST FUNDS DUE TO POOR FINANCIAL ADVICE OR STRATEGIES WE WISH TO HEAR FROM YOU. Please go to our contacts page.