Mayfair 'ties' cost Quattro Capital

The corporate watchdog has torn up the licence of West Perth-based investment service Quattro Capital Group and barred director Grant Gibson over its ties to embattled investor Mayfair 101.

According to the Australian Securities and Investments Commission, Quattro was the AFS licensee of a number of representatives involved with the Mayfair 101 Group and issued debentures promoted by Mayfair. 

ASIC and Mayfair 101 are currently locked in a bitter legal battle over allegations four of Mayfair’s entities engaged in deceptive conduct and misled investors when promoting its debenture products.

The watchdog claims those investors are owed in excess of $211 million.

The federal court has already restrained Quattro representative James Mawhinney from advertising and soliciting funds for 20 years and ordered the four Mayfair entities to pay a fine of $30 million.

But both of those court orders have since been appealed.

In a statement released this morning, ASIC alleged Quattro had failed to adequately supervise and ensure the competency of those representatives, lodge financial statements between 2016 and 2020 when required and properly mitigate risks.

Further, ASIC alleged Mr Gibson was involved in Quattro’s breach of financial services laws and found him unfit to control a financial services entity, banning him from doing so for at least eight years.

Quattro and Mr Gibson can appeal the ban.