The Financial Markets Authority has cancelled Dunedin-based adviser Barry Edward Kloogh’s Authorised Financial Adviser (AFA) authorisation, as a result of concerns regarding compliance with his broker obligations under the Financial Advisers Act 2008.
The cancellation took effect upon the expiration of his suspension as an AFA on 5 September 2019.
The Serious Fraud Office reported earlier this year it was conducting an investigation of Kloogh and his business Breathe Financial (see: Dunedin AFA Investigated by SFO…).
Impact Enterprises Limited and Financial Planning Limited, of which Kloogh was the sole director, were placed into liquidation by the Dunedin High Court on 29 August 2019.
The FMA stated Kloogh had been notified of the FMA’s proposal to cancel his authorisation and he chose not to oppose it.
“Subject to any Court order to the contrary, the liquidator will, within 25 days of their appointment, send a report to the creditors (and Court) containing a statement of the companies’ affairs, proposals for conducting the liquidation, and, if practicable, the estimated date of its completion,” the regulator noted.
“It will also send a notice explaining the right of creditors to require the liquidator to call a meeting. At a creditors’ meeting, the creditors of the companies will be given the opportunity to appoint a liquidator of their own choosing.”
The SFO investigation is ongoing and anyone with information can contact the SFO.