Australian regulators investigate $35 million payment from fund manager Chiodo to café owner's marketing firm.

Australian regulators are investigating whether $35 million paid by fund manager Paul Chiodo to café owner Rashid Alshakshir's marketing firm, Bespoke Marketing, should be recovered for investors in Chiodo's troubled Shield Master Fund. While commission payments to financial advisers for product recommendations are banned in Australia, marketing payments are allowed. Chiodo maintains the payments were legitimate and commonplace, but ASIC is examining the relationship to ensure there was no improper financial advice or conflicted remuneration involved.

3 months ago
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