Regulatory Alerts2026-04-10
ASIC permanently bans Yanhua Chen from the financial services industry
The Australian Securities and Investments Commission permanently banned Yanhua Chen from providing financial services and controlling financial entities due to his unfitness to operate in the industry. ASIC determined that Chen lacked the necessary judgment and character after he misappropriated $490,000 from a client to fund his own trading losses. His conduct, which included deceiving the client about the loss of funds, resulted in his placement on ASIC's Banned and disqualified register.
On 3 March 2026, ASIC made orders permanently banning Yanhua (Scott) Chen from:
providing any financial service
controlling, whether alone or in concert with one or more other entities, an entity that carries on a financial services business, and
performing any function involved in the carrying on of a financial services business (including as an officer, manager, employee, contractor or in some other capacity).
ASIC found that Mr Chen is not a fit and proper person and his conduct shows that he does not have the necessary judgement and character to operate in the financial services industry.
In making the banning order, ASIC had regard to Mr Chen’s conduct in receiving $490,000 from a client to invest in certain stocks but instead he misused these funds to conduct trading on his own account at a loss. Mr Chen breached the trust placed in him by his client and led her to believe the money had not been lost.
Background
Mr Chen was a director of 61 Financial Information Technology Pty Ltd (deregistered) and Filli Capital Pty Ltd, financial firms based in Melbourne. Between 21 August 2019 and 30 November 2023, 61 Financial Information Technology Pty Ltd was an authorised representative of BeeMarkets Pty Ltd.
Mr Chen’s banning has been recorded on ASIC’s Banned and disqualified register .