David Sipina of Prairiewood NSW, a former contractor and promoter of Courtenay House investments, has been sentenced to three years’ imprisonment, to be served by way of an intensive correction order, for his role in the unlicensed Courtenay House financial services business.
On 20 December 2024, Mr Sipina pleaded guilty in the Coffs Harbour District Court to two charges related to his involvement in the Courtenay House matter. The first charge related to aiding and abetting Tony Iervasi to carry on an unlicensed financial services business contrary to s 11.2(1) of the Criminal Code (Cth) and s 911A(1) of the Corporations Act 2001 (Cth), and the second charge related to dealing with money that he believed to be proceeds of crime worth $1 million or more, contrary to s 400.3(1) of the Criminal Code (Cth), derived from his involvement in the unlicensed financial services business.
In May 2017, liquidators were appointed to the Courtenay House companies and the director, Mr Iervasi, was restricted from leaving Australia. On 8 November 2022, Mr Iervasi pleaded guilty to five criminal charges (22-307MR). Four of those charges included engaging in dishonest conduct between 13 December 2010 and 21 April 2017 in running a Ponzi scheme through the Courtenay House companies, in relation to $180 million raised by the Courtenay House companies from around 585 investors.
Mr Sipina’s role in the scheme was to recruit and manage 215 investors, and market the scheme both online and in person between June 2015 and April 2017. For his participation, Mr Sipina received approximately $3.9 million in commissions which were proceeds of crime. Mr Sipina was not aware that the Courtenay House businesses were a Ponzi scheme, but he knew they were providing unlicensed financial services advice since at least 24 June 2015.
ASIC Deputy Chair Sarah Court said, ‘ASIC is committed to investigating people who engage in and profit from dishonest conduct. Mr Spina’s sentencing should be a deterrent to those who operate outside of the law and whose actions can have a detrimental effect on consumers who entrust their money with others.’
Mr Sipina is the third person to be sentenced for criminal offences relating to Courtenay House.
The matter was prosecuted by the Office of the Director of Public Prosecutions (Cth) (CDPP) after an investigation and referral by ASIC.