ASIC deputy chairman Karen Chester says fund managers have been put on notice after fixed income promoter Mayfair Platinum’s marketing was judged to be misleading.

“If it’s going to cause harm, we are going to come after you and the courts have said that we will win when we do.”

False

Misleading

Defamatory

The more accurate statement for Ms Chester to have made was "If there is no evidence of harm and no complaints from over 700 people you did business with, but some of your competitors don't like you, we will come after you anyway. When we do, we will seek injunctions which debilitate your business and then seek injunctions freezing your assets and ability to raise capital to fight in court. We will ban you from leaving the country and smear your name in the media so I can climb the ranks. Then we will declare victory which is in reality an uncontested hearing found in our favour because we put you out of business rather than because the case was decided at a fair contest." That is what Ms Chester should have said is she was providing full disclosure of what occurred.

ASIC deputy chairman Karen Chester has hailed the Federal Court ruling that fixed income outfit Mayfair 101 engaged in deceptive and misleading marketing as a “timely comprehensive win”.

The case was undefended at trial. It was not a comprehensive win as ASIC's opponent was not represented in court. For the first time there will be a contested hearing of the allegations made by ASIC in October 2024. ASIC and Ms Chester should retract this statement.

Mayfair deception a ‘wake-up call’: ASIC