Stavro D’Amore, who was a director at the now-collapsed CFD broker Berndale, pleaded guilty to multiple dishonesty offences, including the illegal transfer of over AU$681,000 (around US$490,000) in company funds, which were primarily client deposits, between 2017 and 2018.The clients of the now-collapsed broker are still owed over AU$8.9 million (US$6.5 million).Singapore Summit: Meet the largest APAC brokers you know (and those you still don't!)A Guilty Plea after Almost 8 YearsThe Australian financial services regulator announced today (Friday) that D’Amore pleaded guilty to three ‘rolled-up’ charges, which include dishonestly using his position as a director, dishonest conduct, and authorising the making of a false and misleading statement in a document submitted to the regulator.The Australian Securities and Investments Commission (ASIC) formally moved against D’Amore in mid-2023 by filing charges against him. The latest guilty plea followed his not-guilty plea in September 2024.D’Amore, whose sentencing is due on 2 July 2026, is now facing a heavy monetary penalty or up to 10 years in prison under one of the charges.Is There Any Hope for the Clients?Melbourne-based Berndale collapsed in November 2018 after its AFS licence was cancelled due to multiple concerns, including failures to comply with reporting obligations and to respond to statutory notices. At the time, the regulator was also concerned that D’Amore was not competent to serve as a director.The illegal transfer of company funds, according to the regulator, happened both before and in the days following the licence cancellation.Along with D’Amore, the Australian regulator also charged Daniel Kirby, another director at the collapsed broker, but he had already pleaded guilty to similar charges in September 2024.D’Amore was previously associated with the broker FXTG, which also reportedly came under scrutiny from the Australian regulator. In 2016, there were reports that the firm allegedly owed investors around $2 million. It is worth noting that Kirby was also connected with FXTG as the Chief Operations Officer. This article was written by Arnab Shome at www.financemagnates.com.

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