Following an ASIC investigation, an Adelaide man has faced court accused of deception totalling $12 million.
Former mortgage broker Michael Samra faced Adelaide Magistrates Court on 22 May 2015 charged with 12 counts of deception.
ASIC alleges Mr Samra operated a Ponzi scheme with promises of high returns on the investment, some up to 30-48 per cent a year.
ASIC alleges Mr Samra induced investors to loan his company, ALC Group Pty Ltd, money on the basis that it would be on-lent to unnamed builders or property developers on a short term basis. Approximately $66 million came into the ALC bank account over a seven month period with the majority of funds paid out to investors.
The charges follow the collapse of Norwood-based ALC Group in 2009 owing liabilities of approximately $40 million.
Mr Samra, who was not required to enter a plea, was bailed and the matter will return to court on 28 July 2015.
The Commonwealth Director of Public Prosecutions is prosecuting the matter.