Australia's market watchdog has asked the Federal Court to appoint receivers to Australian Fiduciaries Limited and 30 related companies after the collapse of investment schemes that attracted around $160 million from approximately 600 retail investors.

ASIC Seeks Court-Appointed Receivers for Australian Fiduciaries After $160 Million Investment Scheme Collapse

The Australian Securities and Investments Commission (ASIC) filed court documents on June 13 seeking urgent asset preservation orders and the appointment of McGrathNicol partners as receivers to the sprawling network of entities. The application targets companies involved in property investment schemes that stopped accepting new money in September 2023.

Most investors put their money into the schemes through self-managed superannuation funds, with investments flowing into the products from February 2020 until they were suspended nearly two years ago. The schemes focused on property investments, including specialized disability accommodation and early learning centers.

ASIC's court filing reveals the regulator wants receivers to "identify and secure" the companies' assets, track down investor funds, and determine what happened to the money. The proposed receivers would have 45 days to report back to the court on the companies' financial position and prospects for investor recovery.

The case centers on Australian Fiduciaries Limited, which operated as the responsible entity for several registered managed investment schemes. Court documents show the company has addresses in Sydney and Brisbane, with many related entities sharing offices in Milton, Queensland.

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Missing Financial Reports Raise Red Flags

The investment manager has failed to file required audited financial statements for the 2024 financial year or compliance reports for the first half of 2025. Investors haven't received updates on their investments since May 2024, according to ASIC's statement.

The regulator's investigation focuses on several areas of concern, including how the company managed conflicts of interest and the complex web of related-party transactions that characterized the investment structure. ASIC is also examining whether Australian Fiduciaries properly valued the underlying assets in its schemes and how investor funds were ultimately deployed.

Court documents reveal the schemes involved a "complex group of entities controlled by related parties," suggesting investor money may have been channeled through multiple layers of corporate structures before reaching final investments.

Related: This $18.7B Fund Manager Ignored Investor Warnings for 2 Years, ASIC Claims

Broad Asset Freeze Sought

ASIC's application seeks sweeping asset preservation orders that would prevent the 31 defendant companies from disposing of property, incurring new debts, or moving assets offshore. The proposed orders include exceptions for ordinary business expenses and legal costs related to the court proceedings.

The regulator has also asked for permission to notify banks, cryptocurrency exchanges, and property registries about the asset freeze orders. Court documents show ASIC wants to suppress publication of investor names and contact details to protect their privacy.