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ASIC bans Magnolia Group’s money manager amidst ongoing investigation into missing millions

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A young money manager has been banned from managing corporations or working in financial services as part of an investigation into the collapse of his once-claimed $1 billion funds empire.

Mitchell Atkins will be barred from managing corporations for five years and from working in financial services for 10 years, amid a probe by the Australian Securities and Investments Commission (ASIC) into his business activities.

Mitchell Atkins’ Magnolia Group offered investment in a fund holding a $30 million Lamborghini Essenza SCV12.

This masthead first revealed the ASIC investigation into Atkins’ Magnolia Group of businesses earlier this year and the regulator’s dramatic airport intervention to stop the 31-year-old money manager from leaving the country with his young family to visit an unwell relative.

Atkins’ business empire collapsed in 2022 following allegations he had mismanaged client funds. At the time, Atkins claimed his business problems were the result of unscrupulous share brokers. However, as this masthead revealed, there were also serious doubts about those claims, with Atkins confirming that some of the Magnolia money had been lost on complex financial derivatives that are akin to gambling products.

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Creditors are thought to be owed at least $50 million, though the extent of losses and assets is undetermined, with the extent of Magnolia’s business dealings still unclear to liquidators of the group’s various businesses.

Magnolia counted some of Australia’s richest families as its clients, including the family of the late Melbourne business magnate and philanthropist, Victor Smorgon, as well as successful entrepreneurs, barristers and private investors with self-managed superannuation funds.

The group claimed to operate the best-performing share fund in the country. Its main operation was a private lending business that helped arrange loans for borrowers looking to complete property developments or buy more exotic items, such as a $1.2 million Ferrari, and offered investment in a fund holding a $30 million Lamborghini Essenza SCV12.

Atkins was licensed to provide financial advice through an arrangement with Sydney financial services group, Guildford Funds Management.

(The following story may or may not have been edited by NEUSCORP.COM and was generated automatically from a Syndicated Feed. NEUSCORP.COM also bears no responsibility or liability for the content.)

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