Former NAB financial planner Max Eung faces jail over client fraud

Former NAB financial planner Max Eung faces jail over client fraud
Former NAB financial planner Max Eung faces jail over client fraud

Following an ASIC investigation, Max Eung, of Tempe, New South Wales has been charged with two offences of obtaining financial advantage by deception.

ASIC alleges that between March 2016 and December 2016, Mr Eung dishonestly obtained a financial advantage of funds totalling $166,500 from accounts held with MLC Limited and Nulis Nominees (Australia) Limited in circumstances where the account holders did not authorise the withdrawal of those funds from their accounts.

Mr Eung was an authorised representative and financial adviser of NAB from May 2015 to December 2016.

He was permanently banned by ASIC from providing financial services and engaging in credit activities in June 2018.

The offences each carry a maximum penalty of 10 years imprisonment.

The matter is being prosecuted by the Commonwealth Director of Public Prosecutions.

The matter has been adjourned by consent for further mention on 7 May 2019 at the Downing Centre Local Court in Sydney.

Last June ASIC permanently banned Max Kiattisak Eung (also known as Kiattisak Eungpongpan) from providing financial services and engaging in credit activities.

While he was a financial adviser with NAB, it was alleged that during this period Mr Eung engaged in conduct including:

  • creating two false bank accounts in the names of his clients;
  • falsifying documents to open the false bank accounts;
  • causing withdrawals to be made from client funds to the false bank accounts and misappropriating client funds; and
  • impersonating his clients to attempt to obtain access to funds in the second false bank account.

Subsequently, Mr Eung incorporated a company for the purpose of operating a mortgage broking business and became a Credit Representative to provide credit assistance within that business.

ASIC found that Mr Eung had engaged in dishonest conduct, was likely to contravene a financial services law, and was not of good character. ASIC also found that Mr Eung was likely to contravene credit legislation and was not a fit and proper person to engage in credit activities.

Eung was an authorised representative and financial adviser with NAB from 21 May 2015 to 20 December 2016 and a credit representative of Connective Credit Services Pty Ltd from 14 September 2017 to 23 October 2017.

Eung’s banning will be recorded on ASIC’s Banned and Disqualified Persons Register and the Financial Advisers and Credit Representatives Registers.

The banning of Mr Eung is part of ASIC's Wealth Management Project.

The Wealth Management Project was established in October 2014 to lift the standards of major financial advice providers.

As part of its Wealth Management Project, ASIC has banned 47 advisers and one director from the financial services industry. Four bannings are the subject of appeals, with a further banning stayed pending the outcome of an appeal.

Tags: 
Asic Financial Planning

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