Basi Basi Financial Planning: A Not So 'Brite' Future

Advisors

Navigating Financial Complexities: Basi Basi Financial Planning, Brite Advisory, and How CP Financial Claims Can Help

The following article was edited on 8/2/2024 to remove reference to the following:

  1. “Ownership/control of ‘Brite’ companies by DeVere”. DeVere have challenged and refute this interpretation, and we hereby retract this comment whilst further investigations are continued and completed into the various corporate structures mentioned in our article below, which exist across multiple jurisdictions.”
  2. “….. a former director of the deVere Group…..[being] penalised and debarred.” This reference to an unnamed director was not directed specifically at any DeVere executive and we are now aware that these penalties were overturned on appeal in South Africa.

No malice was or is intended, to any individual or firm, by any error now corrected or withdrawn from our article.

We will republish further upon conclusion of our ongoing investigations.

Mastering one's financial journey requires more than just saving pennies and investing wisely—it's about knowing who holds the reins to your financial carriage. Among these, Basi Basi Financial Planning Ltd, associated with the Brite Advisory Group has been a prominent name in the UK. Globally however, the ‘Brite’ brand has hit the wall, particularly in Australia.

This article aims to shed light on recent developments involving Basi Basi Financial Planning and other entities within the Brite Advisory Group, and how CP Financial Claims is positioned to assist those who may be impacted.

Background of Basi Basi Financial Planning and Brite Advisory Group

Basi Basi Financial Planning Ltd, using a trading style of the Brite Advisory Group, has a significant presence in the financial advisory landscape. The group broadened its global footprint, focusing notably in Australia but with significant operations in the UK. Brite Advisory PTY Ltd, along with Brite Advisors Pty Ltd, is licensed in Australia with the ASIC (AFSL 337670) and in South Africa under FSP number 51690 with the FSCA.

In the UK, Brite Advisors operates under a trading style of Basi & Basi Financial Planning Ltd, which is authorised by the Financial Conduct Authority (FRN 513993). Brite Advisory Group administers various pension schemes across Hong Kong, the UK, Gibraltar, and Malta.

The business model which has resulted in most UK losses, involves Basi & Basi (‘BriteUK’) giving defined benefit pension transfer advice for customers to leave their company schemes and move the funds offshore, where Brite provided fund management. These funds are now suspended and Brite itself is suspended from all regulated activity in Australia and USA.

Recent Developments and Financial Oversight

In a significant turn of events in August 2023, the Financial Sector Conduct Authority (FSCA) fined Brite Advisors South Africa R3.5 million, while notably allowing them to maintain their license. This consequential development followed the Financial Services Tribunal's decision, which found Brite Advisors guilty of breaching financial sector regulations over a period of five years. The primary infringement involved the promotion and solicitation of unapproved collective investment schemes (CISs) through qualified, recognised overseas pension schemes.

Brite Advisors, which has undergone numerous changes in its branding — known previously as deVere Investments South Africa and later as deVere SA Acuma — has faced a tumultuous path. Basi & Basi Financial Planning Limited, the UK face of Brite, was established on 16th October 2009.

Intriguingly, of the 2 directors of Basi Basi, one is also a director of other financial companies: Onvestor Advisory Limited and ORION PROPERTY LIMITED, indicating a web of interconnected financial interests.


In-Depth Examination by Financial Authorities

Further scrutiny reveals that the Australian Securities & Investments Commission (ASIC) as of 27th October 2023, took decisive action against Brite Advisors Pty Ltd. The Federal Court issued interim orders freezing the funds and assets of Brite Advisors, motivated by concerns over the company's opaque financial position and the unreported value of its funds under management since December 2019. These orders encompassed various prohibitions, including the transfer or removal of property from Australia and incurring new liabilities, underlining the severity of the situation.

The backdrop of these developments is marked by earlier disciplinary actions. In May 2022, the FSCA imposed a substantial R10m administrative penalty on Brite, with the intent to withdraw its category I and II FSP licences. This decision stemmed from findings that between 22nd February 2010 and 1st August 2015, Brite (then operating as deVere) had contravened several financial sector laws, including the Collective Investments Schemes Control Act and the Financial Advisory and Intermediary Services Act.

In response to these charges, Brite sought to challenge the FSCA's findings and reduce the imposed penalties. However, despite their efforts to introduce new evidence and contest the accusations, the tribunal confirmed the contraventions and the resultant financial and operational restrictions.

FSCA's (South African Regulator) Statement

The FSCA, in its press release, emphasised the serious nature of Brite's violations and the critical need for financial services providers to operate within the bounds of approved regulatory frameworks: “This case highlights the importance of the prohibition against South African financial services providers (FSPs) soliciting investments in foreign CISs that are not approved by the FSCA. 'It also highlights the risk and potential harm when a [FSPI, its shareholders or management place themselves in a material conflict of interest with their clients.“

The total penalties imposed against Brite Advisors South Africa and the it's executives for breaches of financial sector laws amounted to a combined R12.5m, highlighting the scale and gravity of the infractions.

 

Trading Names and Representatives

Basi & Basi Financial Planning Ltd, under its trading names Onvestor DVC, effective from 12th July 2023; Onvestor Reporting, effective from 23rd January 2020; Brite Advisors (UK), effective from 14th January 2019, has engaged in several strategic partnerships.

It has appointed representatives like Express Newspapers, from 10th March 2017; Onvestor Advisory Limited, from 28th October 2015; Centaurus Wealth Management Ltd, from 24th January 2014, to 27th September 2016 and ELSTON ADVISORY LIMITED, signifying its extensive network and reach.

The Australian Context

In Australia, the ASIC's recent actions towards Brite Advisors Pty Ltd have raised concerns. In October 2023, the Federal Court ordered freezing the funds and assets of Brite Advisors, citing uncertainties in its financial position and management of funds. The company was restrained from transferring assets out of Australia or incurring new liabilities until further court proceedings.

CP Financial Claims: Your Ally in Financial Clarity

At CP Financial Claims, we understand that the complexities and recent news surrounding Basi Basi Financial Planning and the Brite Advisory Group can be overwhelming and concerning for clients and investors. If you find these developments familiar or you're worried about how they may impact your financial decisions, our team is ready to provide expert advice and support.

We specialise in addressing concerns related to mis-sold financial claims and guiding our clients through the process of understanding their financial rights and options.

Moving Forward

If you recognise any of the names or situations mentioned here, or feel uncertain about your financial planning decisions involving Basi Basi Financial Planning or the broader Brite Advisory Group, please contact CP Financial Claims today via the form. Our team will contact you for a free no-obligation chat.

Our team is dedicated to helping you navigate these complexities with professionalism and clarity.

Have you Been Affected?

At CP Financial Claims, our goal is utmost transparency. You'll only be charged a fee if we successfully secure financial redress for you. The success fees can range from 15% to 25% of your settlement, depending on the amount. For more information, click here.
In the event that you pursue your claims until the end but they turn out to be unsuccessful, you won't owe any payment. If you decide to cancel your claim after the 14-day cooling-off period but before the process concludes, there may be a cancellation charge. To learn more about cancellation fees, click here.

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