Dover's demise: Consumers and advisers abandoned

Highlights how ASIC acts differently and without commercial regard in a terminal way on non-listed owned dealer groups only. At the same time however let advisers take note...cheap 'Flags of Convenience' type dealers have a terminal risk associated with them like their shipping industry cousins. This has been a long time coming, 15+ years in fact.
Quality has a price that cant be discounted.

Well done once again Paul for saying it like it is, the whole situation that the Dover advisers and employees have found themselves in is an absolute disgrace. No income, no dealer group to belong to and absolutely zero support from ASIC and the other large groups within the advice industry. A very sad situation indeed. I wonder how many people at ASIC or anywhere else would react if overnight they were told the income the were rightfully due was cut off!
I cannot believe that ASIC do not care about the people's businesses and lives they seem happy to destroy with no thought to the families involved.

It is hard to imagine ASIC have any sense of the harsh reality they have put these advisers and staff and clients in.
Surely ASIC could have help facilitate a smoother transition.
Or maybe they have better things to do like make the superannuation system so overly complex they have no idea themselves how complex they have made it.

Well said Paul.

You have nailed the issue Paul, particularly someone - maybe the FPA in conjunction with ASIC - taking ownership of the problem that has occurred. It's not only Dover, but the simplistic view of removing grandfathered commissions overnight.
The industry needs clear direction from its leaders and regulators and it is not happening.

Well done Paul. It was very appalling from Dover and ASIC. They both decided to terminate AFSL & not caring what will happen to 400+ advisers who will be without income. Friend of mine was on holidays with his young family and had to cut his holiday and came back because he received email from Dover that AFSL has been cancelled. He is sole income earner and the dealership suspended all income for him.

Completely no care showed by ASIC towards advisers who work their hardest to look after financial well being of every Aussie.

Great article Paul. I have read the EU against Dover and if the actions of Terry McMaster and Dover were so bad, then why did it take ASIC over a year to raise the matter after their audit? Once it was raised, Dover sought to remedy the issue straight away. I'm sure it is no coincidence the matter was only raised just weeks before the Royal Commission - was this ASIC asleep at the wheel and then having a knee-jerk reaction? ASIC were content on letting clients of Dover be exposed by allowing the Dover client protection policy stay in place right up until the Royal Commission. Since then, ASIC decides to shut Dover down and ban Terry for life - either there is more to this story behind the scenes or ASIC need to be brought to account for their actions.

Paul overlooks the main issue.
Many Dover advisers had been sacked from other dealer groups for serious compliance breaches and no other dealer group would give them a license.

The quality advisers from Dover have the opportunity to be re licensed elsewhere by providing references and previous compliance reports. Had Dover done a thorough review in the first place, the planners who should not be in the industry in the first place, wouldn't have been.

I applauded ASIC.

Totally Agree!

Charles, that is very far from the truth and purely an incorrect rumour perpetuated by many of the aligned AFSL's.
Many advisers chose Dover as their first choice of licensee. They would easily have been accepted elsewhere.
The issue was also not about the advisers nor advice given, but a client protection policy which Terry had rectified.
Paul, your article is spot on.

Sad. Who is going to do the claims for all the policyholders who had a claim situation?