The Australian Securities and Investments Commission has handed a ban to a Chipping Norton, New South Wales-based broker, months after banning his ex-wife for a decade.

ASIC has banned Raghwa Nand Prasad from financial services and credit activities for four years following his involvement in his ex-wife and broker assistant's fraudulent activities.

In September last year, Mr Prasad's former wife, Shashi Kanta Prasad, was convicted for forging loan documents to secure home loans of over $3.6 million. In May, she was banned from engaging in credit activities and from providing financial services for 10 years.

The regulator found that between 2008 and 2011, Mr Prasad was aware of the seven false loan application documents Ms Prasad had created and that he allowed or even directed her to send these off to the lender. 

“An ASIC investigation found that between February 2008 and March 2011, Mr Prasad contravened credit legislation and financial services laws, and was involved in Ms Prasad’s contravention of credit legislation and financial services laws,” the watchdog said.

The regulator added that Mr Prasad was familiar with his clients’ financial situations, having acted as their tax agent, and signed off on the fraudulent documents without assessing whether the applications accurately represented his clients' financial situations.