ASIC shuts down unlicensed scheme A One Multi among crypto fears

ASIC recently obtained Federal Court interim orders and injunctions against A One Multi Services Pty Ltd (A One Multi) to preserve and recover crypto assets for the benefit of consumers.  

ASIC suspects that the company, along with directors Mr Aryn Hala and Ms Heidi Walters, engaged in an illegal, unlicensed financial services business.  

It is alleged that:

• the defendants encouraged people to invest in a self-managed superannuation fund (SMSF) and then lend their SMSF investments to A One Multi, for claimed returns of over 20%; and
• over 60 consumers deposited $25 million into A One Multi’s accounts.  
• around $5.7million of this was used for Mr Hala and Ms Walters’ personal benefit, including crypto assets along with real property and luxury vehicles.

The Court made orders:

• placing the company into receivership;
• preserving the assets of the company and individuals;
• requiring the transfer of crypto-assets to the receivers, along with the disclosure of information in relation the crypto-assets; and
• restricting Mr Hala and Ms Walters’ ability to travel.

ASIC sought the orders prior to trial and on an urgent basis, given the speed with which crypto assets can be dissipated.

This highlights the increasing impact crypto assets are having across the economy, which is drawing the attention of investors along with regulators.  

The decentralised nature of crypto assets and the ease of transferring them anonymously, while bringing certain advantages, also increases the potential of investment loss, as could have been the case with A One Multi had the regulator not acted swiftly.

The substantive proceedings, and ASIC’s investigation, continues.

ASIC’s media release on the matter can be found here: https://asic.gov.au/about-asic/news-centre/find-a-media-release/2021-releases/21-289mr-asic-obtains-federal-court-orders-against-unlicensed-investment-scheme-a-one-multi-services/.

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