KUALA LUMPUR (Dec 23): Five unit trust scheme (UTS) consultants have been publicly reprimanded by the Federation of Investment Managers Malaysia (FIMM) for misconduct and breaches of its rules.

In a statement on Tuesday, the FIMM said the sanctions include registration bans ranging from six months to five years, effective Nov 24, following violations of the FIMM’s Consolidated Rules (FCR) and Code of Ethics.

Two former Public Mutual Bhd's UTS consultants, Cheu Kar Wai and Muhamad Khairulanuar Yusoof, were found to have breached the FCR by submitting falsified academic certificates as part of their applications for registration as UTS consultants with the distributor. Both have been barred from registration with the FIMM for two years.

Another Public Mutual consultant, Krisnan Kanniappen, was barred for six months after he was found to have forged the signatures of three investors on investment documents dated April 12, 18 and 20, 2022. He was also required to attend mandatory training on the FIMM’s Code of Ethics.

Meanwhile, Fadli Adha Abu Bakar, also a former UTS consultant at Public Mutual, was banned from registration for five years for accepting and misappropriating RM5,500 in cash from an investor between May and August 2023. He was also found to have issued falsified documents to create the impression that unit trust investments had been made.

Separately, Muhammad Afif Ajmal Safaruan, who was formerly attached to Public Mutual and later Kenanga Investors Bhd, was barred for five years for requesting an investor to pre-sign and pre-thumb-print investment forms involving RM162,000 between August and November 2022. He later falsified documents to apply for financing and credit facilities.

“These public reprimands are imposed to send a strong message that the FIMM will take action against those who fail to comply with any rules issued by the FIMM,” the federation said.