The suspension of the ASIC license for a retail Forex and CFDs brokerage led to its eventual bankruptcy in late 2023, coinciding with a crackdown on a money laundering operation with ties to the broker’s management. The ASIC formally annulled the brokerage’s license in September 2024 following the police shutdown.
Recent updates from the bankruptcy proceedings reveal that the liquidators have successfully distributed approximately $18.1 million to clients who provided verified entitlements and bank details, out of a total of $19.2 million held before the broker’s collapse. This distribution occurred in July 2025. However, around $1.1 million is still pending due to clients not submitting their bank details, despite requests from the liquidators to provide this information by mid-October 2025. Any unclaimed funds after this deadline will be transferred to ASIC as unclaimed money.
The liquidators had initially hoped to complete payouts to all clients and creditors by mid-2025. However, due to the complexity of court processes and the involvement of various parties—including contradictory legal representatives—these proceedings have been extended.
While the outlook for client refunds is positive, some debts owed to the now-defunct brokerage may remain unrecoverable. Investigations revealed that the brokerage had financial ties with an offshore entity, leading to expenses totaling around $800,000 that were not reimbursed. Furthermore, the former management has been unresponsive regarding inquiries into this matter, leaving the recovery outlook uncertain.
In regard to employee claims, estimates indicate that priority claims may reach between $1.2 million and $1.3 million. Given the available funds, the liquidators believe they can fully satisfy these claims, planning to distribute dividends to employees by late October 2025. Workers are encouraged to submit proof of debt by mid-September to ensure their inclusion in the upcoming distributions.
For unsecured creditors, the total claims have escalated to approximately $4.2 million. This figure encompasses various unpaid obligations, including trade debts, ASIC fees, tax liabilities, lease termination costs, and damages claims from former clients. The liquidators are optimistic about declaring a dividend for unsecured creditors but note that the total amount recoverable will depend on the outcome of claims against the offshore entity and the legitimacy of other claims within the creditor pool.
The timeline for potential repayments to unsecured creditors and shareholders hinges on ongoing public examinations and the decision to pursue accounts against the offshore company. If no legal action is initiated, the liquidation process could conclude within six to twelve months. However, any litigation could prolong this process by an additional year or two due to jurisdictional considerations and further regulatory investigations.
Overall, while the situation remains complex, there is a structured process in place for recovering funds and addressing claims from affected clients, employees, and creditors. Updates will continue to be provided as the liquidation progresses and further developments unfold.