This article is from the Australian Property Journal archive
THE Australian Securities and Investment Commission (ASIC) has taken civil action against property developer Sasha Hopkins and his company, The A Team Property Group, alleging he used social media to raise $32 million from investors, for at least unregistered 25 investment schemes, without an Australian Financial Services License (AFSL).
ASIC has also applied to the Federal Court for the winding up of The A Team Property Group, five of the investment schemes and associated companies and trusts used by Hopkins. It also seeks to disqualify Hopkins from managing corporations.
ASIC alleges that Hopkins and The A Team Property Group marketed its business online and on social media, offering clients property investment opportunities either personally or through their self-managed superannuation fund into a joint venture development program for the purchase and development of real estate. Hopkins, who touted a $55 million personal property portfolio, aimed to build apartments on land in Brisbane, Melbourne and Byron Bay.
It was reported by the Australian Financial Review in March that Hopkins’ company forwarded millions of investors’ dollars to developer Greg Shaw, who was declared bankrupt for defaulting on promises that he and related entities pay nearly $9.6 million to firms related to Hopkins.
ASIC is seeking civil penalty orders against Hopkins for allegedly conducting a financial services business without an AFSL and operating unregistered managed investment schemes in breach of the law.
“At no time did Mr Hopkins or The A Team Property Group hold an Australian Financial Services License that permitted them to engage in this conduct,” ASIC said.
Hopkins has provided undertakings in relation to the disbursement of sale proceeds from the sale of property developments managed by the five special-purpose vehicles.
The corporate watchdog last year obtained orders from the Federal Court to freeze the assets of Hopkins and the A Team Property Group.
The orders followed an investigation by the Financial Review that showed 130 investors were chasing millions in unpaid loans and interest from six collapsed companies linked to Hopkins. It comes after Hopkins was awarded topped the Financial Review’s “Fast 100” list after it reported a compound average growth rate of 152% over the prior four years.
