Dixon Advisory agrees to resolve ASIC penalty action

In September 2020, the regulator commenced civil proceedings against the subsidiary, for alleged conflicts, failing to act in its clients’ best interests and providing inappropriate advice.

ASIC claimed that Dixon Advisory representatives knew or ought to have known that there was a conflict between their clients’ interests and the interests of entities associated within the Evans Dixon Group.

ASIC reported they had failed to give priority to the clients’ interests and provided advice that was inappropriate for clients’ circumstances.

On Friday, ASIC confirmed that the agreement included a court-ordered mediation and the proposal that Dixon Advisory pay a $7.2 million penalty for breaches of the Corporations Act and $1 million to go towards ASIC’s investigation and legal costs.

The resolution is subject to approval from the court.

Neil Griffiths

Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.

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Neil is also the host of the ifa show podcast.