The Australian Securities & Investments Commission (ASIC) announced the suspension of the Australian Financial Services licence of Sydney-based retail OTC derivatives issuer Union Standard International Group Pty Ltd (USGFX) until 23 September.
The Australian division of USGFX entered into voluntary administration on 8 July 2020, blaming ASIC.
Andrew Cummins and Peter Krejci of BRI Ferrier (NSW) Pty Ltd were appointed as administrators of the company.
Even though the licence is suspended, ASIC has allowed the administrators to conduct certain necessary activities under the licence during the suspension period, including to have in place a dispute resolution scheme and arrangements for compensating retail clients, to hold professional indemnity insurance and to allow the termination of existing arrangements with current clients of Union Standard.
In December 2019 ASIC announced that the Federal Court in Sydney issueed asset restraint orders against Corporate Authorised Representatives of OTC derivatives provider USGFX, or Union Standard International Group Pty Ltd. The Court vacated the orders few days later. USGFX gave an undertaking to the Federal Court to keep the amount of $53,067.33 in a separate bank account, no additional asset restraint order was launched against USG.
