Concerns have been raised that the outcome of the IAFP special meeting regarding forming a new association may have been different if members knew about a letter written by the association's solicitor.
Concerns have been raised that the outcome of the Association of Investment Advisers and Financial Planners (IAFP) special meeting regarding forming a new association may have been different if members knew about a letter written by the association's solicitor.
Kensington Swan solicitor Tim McAvoy wrote to the association prior to the meeting expressing some concerns about the constitution. One of the points raised is that the constitution that was put before members would not have been able to be registered.
The IAFP Northern Region Management Committee raised similar concerns about the draft constitution and merger documentation in the lead up to the meeting.
During the special meeting former board member Craig Myles asked the chairman, Denys Wright, if McAvoy had written a letter to him expressing some concerns about the merger documentation.
Wright told the meeting McAvoy had not written to him. However, Good Returns understands the letter was written to the association. Good Returns also understands the letter was not written on the board's request.
When asked about the letter McAvoy said he was unable to make any comment without the association's approval.
Wright chose not to comment directly on the allegations.
He has said previously that there were some problems with the constitution, but they were mainly procedural issues. Since the meeting the association has asked McAvoy to review the constitution and recommend appropriate changes.
Wright says the IAFP board will review the recommendations and will then start discussions with the IIAA.
He says the issues that have been raised are all being addressed.
Capital Financial Planning director and former board member Katrina Hawker says in a letter to the editor that "this incident is regrettable since it calls into question the integrity
of the merger process".
For the record: The meeting voted 59:41 to form a new association with the Insurance and Investment Advisers Association.
Editorial and letters - Magic Merger Potion
Concerns have been raised that the outcome of the Association of Investment Advisers and Financial Planners (IAFP) special meeting regarding forming a new association may have been different if members knew about a letter written by the association's solicitor.