Following an investigation by the local regulator, a former Westpac Home Finance Manager has been handed a three year jail term.
The local regulator, The Australian Securities and Investments Commission (ASIC) alleged that between July 2008 and June 2010, David St Pierre dishonestly used his position and submitted loan applications for approval when he knew they contained false information and false documents.
St Pierre, a former Westpac Home Finance Manager, was sentenced in the Southport District Court to 3 years imprisonment, to be released after 6 months on a recognisance order.
On 2 November 2016, St Pierre pleaded guilty to three counts of dishonest use of his position, with the intention of directly or indirectly gaining an advantage for himself or others.
Calculated and Determined Actions
ASIC's investigation found that the customers to whom the loan applications related were elderly and vulnerable and with limited financial means, yet in spite of this, St Pierre encouraged them to borrow against their homes, some of which were unencumbered.
By doing so he obtained over $2.5 million for Westpac customers, that they invested with a now failed Tasmanian property development scheme, operated by Capital Growth International Club (CGIC) and All About Property Developments (AAPD).
Compensated
In delivering the sentence, Judge Kent QC remarked that St Pierre's behaviour was described accurately in his opinion by the Crown as calculated, elaborate, determined and not a fleeting mistake.
Westpac has compensated customers who obtained loans from Westpac through St Pierre in relation to amounts they invested.
In March 2014, ASIC permanently banned David St Pierre from engaging in credit activities and providing financial services.
