Risk Company Update
/Dixon Advisory goes into voluntary administration
Citing ‘mounting’ liabilities, Dixon Advisory has filed for voluntary administration. Dixon Advisory and Superannuation Services (DASS), a subsidiary of E&P Financial Group, said the business was to become insolvent at some point in the future. The liabilities stem from a class action lodged in 2021 alleging that Dixon Advisory didn’t act in the best interests of clients after the investment committee approved and recommended products to be ‘pushed’ onto group members where the business was to receive millions of dollars in fees from.
Claims were also made against DASS by the Australian Financial Complaints Authority (AFCA) and the business incurred penalties from the Australian Securities and Investments Commission (ASIC). DASS was sued last October by a couple who alleged they received bad investment advice that shortchanged them to the tune of $900,000.