The Australian Securities and Investments Commission (ASIC) has announced the cancellation of Everest Asset Management Pty Ltd's (Everest) Australian Financial Services (AFS) license. This decision was made because Everest failed to prepare and submit financial statements and audit opinions as required, and ASIC believes Everest may continue to violate its obligations as an AFS licensee in the future.
Under the Corporations Act, ASIC has the authority to suspend or cancel an AFS license if the licensee fails to meet the fundamental obligations under section 912A. These fundamental obligations include complying with financial services laws, such as submitting financial statements to ASIC annually.
Everest holds AFS license number 437924 and is authorized to provide advice and deal in managed investment schemes to wholesale clients. Everest has the right to apply for a review of ASIC's decision with the Administrative Appeals Tribunal.
The background to this license cancellation decision is ASIC's successful application to the Federal Court for an order to wind up Prospero Markets Pty Ltd (Prospero) and appoint a liquidator. ASIC's investigation into Prospero and Everest began with the Australian Federal Police's Avarus-Nightwolf operation. This operation led to charges of money laundering in October 2023 against former officers and responsible managers of Prospero, and a current officer of Everest, in connection with the Changjiang Currency Exchange remittance chain.
