ASIC Reject Compensation Request After More Than A Year

Post date: 10-Sep-2015 13:27:28

An LM MPF investor has had a request for compensation rejected by ASIC after waiting more than a year for a decision. The investor submitted the request under the Australian Compensation for Detriment caused by Defective Administration (CDDA) process and based it's content largely on the LMIVC article The ASIC Connection. The investor argued the LM First Mortgage Income Fund (FMIF) failure during 2009 should have triggered a complete overhaul of LMIM activities and prevented the subsequently fraudulent collection of investors monies under the MPF guise to support FMIF projects that had clearly failed to provide the projected returns to Australian investors. The MPF investor shares his response to ASIC below,

Quote

thank you for informing me of your decision regarding my claim for compensation in relation to the ASIC failure to prevent Australia's largest ever property investment fraud.

The news is incredibly disappointing to me not only from a personal standpoint but also an ethical and humanitarian perspective. For an organisation that exists principally to protect the interests of finance industry consumers, my observation suggests that staff are so pre-occupied with defense over the widely exposed catalogue of ASIC failures that it seems you have lost sight of and become disconnected from the very people you were created to serve.

A more ironic story, one would find difficult to craft.

Up until March 2013 returns to LM MPF investors, albeit made from new investors monies, were subject to an Australian with-holding tax presumably as a contribution to the cost of those services designed to protect consumers interests (what other use could possibly be justified?) which, no matter who's position one now strives to adopt within this crucifying debacle, appears one may argue, to have been nothing less than a compulsory contribution to Australia's apparent harboring of white collar criminals. I have irrefutable evidence demonstrating the blatant fraud that LMIM directors perpetrated.

LMIM were / are riddled with improprieties. ASIC failed, repeatedly, to act against LMIM in an appropriate manner and subsequently allowed the monster to grow, into the half a billion Au$ MPF fraud / ponzi that has devastated thousands of educated, professional, honest upstanding individuals across the world.

Weak, ineffectual ASIC behaviour has contributed enormously to the destruction LMIM has wreaked upon sincere individuals representing the very core of 20th / 21st century personal success. The fundamental elements of life in modern society were under constant attack by LMIM directors. We will see that more clearly as FMIF truth's (and later MPF truth's) continue to be exposed.

Sadly I feel the current ASIC demeanour is a disgrace to Australia and unfortunately ridicules the Commonwealth compassion for humanitarian principles that our (Great Britain and Australia) combined history represents.

Unquote