$10 million frozen in suspected Askk Investment Group land banking scheme

$10 million frozen in suspected Askk Investment Group land banking scheme
$10 million frozen in suspected Askk Investment Group land banking scheme

The Federal Court of Australia made interim orders restraining Askk Investment Group Pty Ltd (Askk) from dealing with funds in their bank accounts in relation to a suspected land banking scheme. 

The December 20 orders see Askk also restrained from selling or otherwise dealing in the property which is the subject of the land banking scheme.

Askk has an interest in land located in Lot 2, 615 Hume Highway Beveridge, Victoria.

Askk is Broadmeadows based.

ASIC suspects that since October 2017, Askk has raised in excess of $10 million dollars from more than 270 investors in relation the land, and since this time, investors have been making ongoing payments in respect of their investment.

The money is in two Westpac accounts.

ASIC is concerned that Askk:

  • may be operating an unregistered managed investment scheme (MIS);
  • may be carrying on a financial services business in relation to the promotion and operation of an unregistered MIS without holding an Australian Financial Service Licence; and
  • may have engaged in conduct that is misleading or deceptive during the promotion of the scheme to investors.

ASIC’s investigation is ongoing. The freezing orders remain in place until the next hearing date on 8 February 2019.

The orders allows Askk withdrawing up to $50,000 for the purposes of paying the defendant’s legal expenses in relation to this matter.

The land was initially marketed as a large acreage "ready to be owned by astute developers, builders and land bankers including group of investors looking to cash in capital."

It was described as a "unique land parcel zoned under urban growth with its boundary located in the famous Beveridge north suburbia."

Tags: 
Asic Landbanking

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