Victorian insurance representative Terrence McDonald has copped a 10-year ban from the financial regulator for failing to comply with financial services laws.

An investigation by the Australian Securities and Investments Commission (ASIC) found he engaged in conduct likely to deceive clients and his affiliated insurance broker.

ASIC found that between December 3 2008 and June 4 2009, Mr McDonald – who was employed as a sub-authorised representative of Jacarlen, a corporate authorised representative of MGA Insurance Brokers – delayed the deposit of $24,605.80 in premiums paid by 46 clients into the insurance broker’s trust account.

He allegedly informed clients they were insured and that the premiums were paid.

The regulator subsequently banned Mr McDonald from providing financial services for 10 years, stating “he had not complied with financial services laws and there was reason to believe he would not comply with financial services law in the future”.

An ASIC spokesman told insuranceNEWS.com.au that MGA Insurance Brokers “reported the matter to ASIC and have assisted ASIC throughout the investigation”.