A former mortgage broker has faced 12 charges in an Adelaide
court over allegations he operated a Ponzi scheme.
Following an Australian Securities & Investment Committee (ASIC) investigation, it is alleged that Michael Samra deceived investors of out of $12 million.
The charges follow the collapse of ALC Group Pty Ltd in 2009 owing liabilities of approximately $40 million.
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 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.
ASIC claims approximately $66 million came into the ALC bank account over a seven month period with the majority of funds paid out to investors.
Mr Samra, who was not required to enter a plea, was granted bail and the matter will return to court on July 28.
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