Equity Trustees to defend ASIC civil action over First Guardian fund losses

An announcement from EQT Holdings Ltd. ( (AU:EQT) ) is now available.

Equity Trustees has disclosed that its superannuation subsidiary, Equity Trustees Superannuation Limited, is the subject of new civil proceedings filed by the Australian Securities and Investments Commission in relation to the First Guardian Master Fund. The company says ETSL intends to defend the allegations, as it has in similar litigation over the Shield Master Fund, arguing it acted in line with its fiduciary duties and relevant legislation.

ASIC is seeking civil penalties, compensation or remediation orders and costs, with member losses through the ETSL‑trustee fund put at about $70 million out of an estimated $446 million in total First Guardian investor losses. Equity Trustees maintains that the case centres on alleged widespread fraud by banned advisers and other promoters, while stressing its support for regulatory crackdowns, its ongoing assistance to liquidators to maximise recoveries for members, and continued counselling and wellbeing support for affected investors.

The most recent analyst rating on (AU:EQT) stock is a Buy with a A$34.57 price target. To see the full list of analyst forecasts on EQT Holdings Ltd. stock, see the AU:EQT Stock Forecast page.

More about EQT Holdings Ltd.

EQT Holdings Ltd, trading as Equity Trustees, is Australia’s leading specialist trustee company, founded in 1888 to provide independent and impartial trustee and executor services that help families protect their wealth. The group offers asset management, estate planning, philanthropic services and responsible entity services for external fund managers, serving individuals, families and corporate clients nationwide from offices in major Australian cities.

Average Trading Volume: 38,003

Technical Sentiment Signal: Sell

Current Market Cap: A$473.2M

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