Storm Financial adviser charged

Appearing in Sydney’s Downing Centre Local Court today, Walter John (Wally) Fullerton-Smith haced allegations he misled an elderly couple with the intent to obtain a financial advantage for himself and his wife.

Mr Fullerton-Smith was a financial adviser at collapsed firm Storm Financial and a former Queensland and Australian representative rugby league player.

“The conduct allegedly occurred when Mr Fullerton-Smith was procuring the couple’s units, valued at approximately $706,436.94, in an MLC MasterKey Unit Trust as security for the trust margin loan account,” said an ASIC statement.

“Specifically, it is alleged it was implied the investment would be safe if the couple signed documents authorising a third party mortgage over it as security for a proposed loan to either Mr Fullerton-Smith and his wife or The Young Trust, of which he was the trustee and he and his wife were primary beneficiaries, while omitting to inform them of the true nature and effect of the documents.”

The former adviser did not enter a plea and has surrendered his passport to ASIC.

In November 2012, he was banned for life from providing financial services.

 More to come.