Financial adviser debarred for failing to disclose R1.5 million inheritance.
A financial adviser who challenged his debarment from the financial services industry has suffered a major setback after the Financial Services Tribunal dismissed his application for reconsideration.
The tribunal found that Michael Lawrence Andrew failed to disclose substantial personal financial benefits received from a client and did not meet the honesty and integrity standards required under South Africa’s financial regulatory framework.
The tribunal concluded that although allegations that Andrew forged client documents could not be conclusively determined on the available evidence, the undisputed facts surrounding his financial relationship with a deceased client were sufficient to justify his removal from the industry.
The matter arose after Liberty launched an investigation into Andrew’s conduct as the financial adviser responsible for a deceased client’s policies and investments. Liberty alleged that Andrew had been nominated as a beneficiary on one of the client’s Liberty policies worth approximately R1.5 million and had also received two cash payments of R100,000 each from the client during 2023 and 2024.
