Their Stories

The 140 elderly victims of the Sterling First scandal are the canary in the mine of Australia’s financial system. Two and a half years after the banking royal commission, their plight is a disturbing warning that the government and the regulator, the Australian Securities and Investments Commission (ASIC), have not cleaned up the system that Australia what then-ASIC Chair Greg Medcraft in 2014 called a “paradise” for white-collar criminals. How many politicians will stand by while the Treasurer and corporate regulator deliberately unleash the big banks and all other financial predators onto unsuspecting Australians?

The Sterling First victims have taken their case to a number of Morrison government Ministers and their parliamentary representatives, but to no avail. They have repeatedly contacted Treasurer Josh Frydenberg, and handed 110 letters to him in person during his 22 April 2021 visit to WA, but without response. The federal government MUST compensate the pensioners for the negligence of ASIC. These are ordinary Australians who have worked hard all of their lives, and they have been let down by the failure of the regulator to regulate!

Treasurer Josh Frydenberg must pay the $18 million immediately to compensate the elderly victims of Sterling First, some of whom have already died in poverty waiting for justice.

Norman & Jean

ASIC, as the government watchdog, failed in their duty. A watchdog is supposed to prevent criminality, not invite them in to fleece aged citizens. ASIC’s non-action and Sterling First white collar criminals have caused us to lose our life savings and our home. After 2 1/2 years of court appearances and letters to government leaders, the stress of not knowing what our future lives would be like was too much. With the threat of going bankrupt we were forced to move out of our home. At 76 and 78 years of age we are not in a position to recoup our funds. The Government must take responsibility for our situation and return our money.

Ann

My mother passed away in October 2020 due to the stress and trauma caused from being a victim of the Sterling New Life collapse. The stress over her last 18 months of her life of not knowing if she had a roof over her head and losing her hard earned money, finally took its toll on her.
My mother was not rich, she sold her only major asset, her family home to purchase a lease for life rental agreement to free up money to fund her retirement.
Sterling New Life victims have been waiting 2 years for Treasury to fix this, constantly being ignored only caused my late mother further anguish. No elderly person should have to suffer this way due to the greed of crooks and incompetence of the policies and government departments that should protect victims of crime.

Diana & Allan

If I was looking at a high risk investment or aiming to make money I could expect failure, but a well endorsed and marketed plan, with our money in a SAFE TRUST FUND and signing a REIWA lease to give us stability for 40 years, was the best choice for us with limited funds. There were no warnings or doubts on this housing option we're presented. Every day has consumed our lives and given us mental stress. We are honest and guilty of nothing. We have had 2.5 years of the roller-coaster applying for help and being fobbed off and ignored.

Beryl & Ray

With doing due diligence on my part in 2016 contacting ASIC to query the company, being diagnosed with cancer one month after the collapse, to fighting in the Supreme Court to keep a roof over our head. Handing Frydenberg over 113 letters, speaking to Ben Morton the same morning, yet nothing. Not one word from anyone to help us after spending $159,000 our life savings. We sold our 4x4 caravan, funeral fund, home to move in here to lead a peaceful life, but have had anything but. Cannot even afford a funeral. So bloody sad being denied our basic rights.

Peter & Dawn

My wife and I are part of this Sterling fiasco. We signed up in early 2017 in wanting to downsize like many other elderly couples. We sold our house and put our life savings into this supposedly payed up front rent for life scheme. These funds were supposed to be have put into a TRUST fund, which never happened. After two and a half years it all was gone, stolen. We all have sent thousands of letters to MPs and Mr Morrison and Frydenberg to no avail. They have just ignored us all. This is all due to the failings of ASIC. They all knew about this in 2015 already and did nothing. This has had a huge burden on not just us but our whole family. We all need an urgent senate inquiry into Sterling and a Royal commission into ASIC. All we all want is our life savings back that has been stolen at no fault of our own, so we can carry on with the rest of our lives.

Leonie & Alex

We are a couple who have lost $210,000 and our relaxed life. Currently being treated for Major depression and anxiety with suicidal thoughts. We are facing eviction as Alex my 84y.o husband, recently represented us in trial.
Attended fund-raising breakfast for Josh Frydenberg Given 110 letters to read. Not even a response, ignorant man.

Alan & Ann

The hardship we are experiencing. After working all our lives is unexplainable, couldn’t even begin to explain, the stress and trauma this scam has had on both of us and all the other victims of the nightmare we find ourselves in. Not one of our so called leaders of this country have even had the decency to reply to all the 100’s of letters that have been sent to them. These are the people that have just cast us aside after paying tax to look after us in our retirement. We are both in our 80s and not in the greatest of health.
We had a call from ASIC in June 2018 asking a lot of questions, so it was obvious they then knew something was going on. We then got an email from an ASIC officer stating that he was sorry if they alarmed us in any way but to call him at any time if we have any concerns, but when my husband called they said that he had never work for them, they said they didn’t know him. Funny when we have an email from him dated 28th June 2018. Headed INVESTIGATION : Sterling Income Trust. (ASIC letterhead) We have lost approx $260,000.

Jim

I am 86 years old, and have lost my money and home because of the Sterling First fraud, which should have been prevented if ASIC and Consumer Affairs had shut down Sterling. Both ASIC and Consumer Affairs knew the directors of Sterling from previous scams and did nothing to prevent them from starting another.

Dennis & Jenny

After five decades of single income community work as a church ministry couple, Jenny and I saw the Sterling rent-for-life scheme as a secure and stable option that would enable us to still live and serve well into our retirement. It was galling to discover we had been caught in what seems an ASIC enabled "bait and switch" Ponzi scheme of dazzling complexity. Two and a half years of jumping through bureaucratic hoops, writing to and meeting with politicians, attending others' court hearings and being ignored by Canberra, have left us weary as we seek a roof to live under, but undefeated. We will not let this matter drop until the error of regulation that allowed this to happen is radically transformed and fixed. And yes, we want the government to ensure adequate and fair compensation to all victims - urgently!

Ron & Bez

After 2 years of planning and purchasing a 40-year Sterling New Life lease and looking forward to our well-earned retirement, we instead have had 2 ½ years of unbelievable stress, anxiety and humiliation. We have been dragged through the courts by the property owner like criminals, and now have no home security and a very uncertain retirement after our life savings were stolen by Sterling directors, whilst ASIC sat back and did nothing, failing in their duty and having full knowledge of the Sterling Ponzi experts with extensive previous history.

Lou & Laurie

Lou and Laurie have worked a combined 100 years to have some savings for our retirement. We used it to get a Sterling First home. When Sterling collapsed we were the first to be evicted by the Supreme Court. Dozens of letters to the Prime Minister, the Treasurer and others have been ignored. ASIC’s Failures have left us in limbo, they have to fix this disaster of their causing and pay back the money in full that they aided and abetted the criminals to steal. We need a Senate inquiry into Sterling and WA Fraud Squad investigation into the Directors of Sterling.

Sue & Roy

We paid Sterling New Life Lease an amount of $200,200 for a 20 yr LEASE. The money we paid was put into a TRUST FUND to pay our rent. WE ARE TENANTS. That's what our story is. This COMPANY was aided and abetted by ASIC. THE TREASURER at the time was Scott Morrison. After 3 yrs the Company went into Liquidation.
We now find ourselves penniless, homeless. Suffering Mental Anxiety for 2 and a half years now. Physically suffering with health issues due to the stress of it all. We have been totally ignored by every avenue of help we have taken. This is ELDER ABUSE AT ITS WORST. CAN'T EVEN AFFORD A FUNERAL. THANKS TO ASIC, LNP GOVERNMENT, STERLING NEW LIFE LEASE.

Kaye

I am a 70 year old single pensioner. I am a former bank victim who endured a four year dispute with a major bank from 2013 - 2017. The stress and anxiety of those tumultuous years ultimately ended my 27 year marriage. After my separation I paid $285,000 for a 40 year lease with Sterling First. After the collapse of Sterling I became very unwell with major panic attacks and anxiety so I moved out of the Sterling home to live with relatives who were concerned for my well-being. I am now living alone in a rental with no future security of tenure, something I wanted to avoid by buying a 40 year life lease with Sterling. ALL 140 tenant victims need their stolen money back immediately.

Malcolm & Helen

We joined Sterling Life two and a half years ago and what do we have to show. We have lost our money, security, independence, our health and our lifestyle. Nothing we were promised and paid for was delivered.
We also believe ASIC was a major player in this debacle. We need a senate inquiry into ASIC to get our money back.

Sylvia & Ray

We are just ordinary people who thought our money went into a trust account. ASIC had information and did nothing. The scheme worked well for us for 3 years, we were very happy. Then all of a sudden we were told the money was gone. Question is, how could it just disappear and where to.
Ray has been on depression medication and also sleeping pills. Feels he should be able to get something done to fix it. Many have passed away, it’s too much stress for older people to handle. When we all thought we were set up for the rest of our lives. Thanks for giving us hope we may recover some of our losses.

Ercole & Denise

We first saw Sterling advertised in the Seniors newspaper. We arranged to have an appointment with one of the Directors of Sterling in Nov 2017. He spoke about about the benefits of the 40yr Life Lease, such as all maintenance and rates would be taken care of with the money we paid up front. The money was to go into a Trust fund, which in turn would generate rent for the Landlord/Investor. We were to be Tenants for life. We were never given a PDS on sign up, we didn’t even know what a PDS was. We moved in Feb 2018 and everything was fine, that is till we found out that Sterling had collapsed. Our lives were shattered. All our life savings were gone.
The Landlord/Investor was wanting his rent and we said we already paid our rent for 40yrs up front for a 40yr life lease, subsequently he threatened us with eviction and court proceedings. We are now paying rent as rentals are hard to find. One of our fellow victims got in touch with Denise Brailey who for the last two and half yrs has been campaigning for our fight for justice and compensation.
The impact of the collapse of Sterling has impacted on our lives, it is terrible. My wife and I are both on anti depressants and sleeping tablets. Our health has deteriorated dramatically to the point we don’t want to face the world. What this has done has stripped us of our life savings and dignity.
The Directors of Sterling were well known to ASIC from past failures e.g. HERITAGE/WESTPOINT. They were bankruptees. ASIC put a STOP ORDER on Sterling in Sept 2018 yet allowed them to start up again under the banner of SilverLink. Why did they allow that to.happen? ASIC were CRIMINALLY NEGLIGENT. Where was their duty of care? This PONZI scheme was signed off by the then Treasurer Scott Morrison .
We have written to Federal Treasurer Josh Frydenberg, ASIC, AFCA, State Premier McGowan and all Federal Senators with no response. The Federal Govt is Responsible for Allowing this PONZI into the country. They want us to go away but that won’t be happening till we get compensated.

Diana & Colin

We were looking to downsize in 2017 after Colin’s heart attacks and the Life Lease looked like a good alternative to a Retirement or Lifestyle Village. Our money would be held securely in a Trust and we could treat the house as our own. Little did we know that this "Trust" never existed and our life savings would be stolen by known serial white-collar criminals. For two and a half years our days have been consumed with anxiety and uncertainty and we want back what is rightfully ours. There needs to be a Senate Inquiry into the Sterling debacle and a Royal Commission into ASIC who failed miserably in their duty to protect us and seemingly worked hand in hand with the Sterling Directors to defraud us.

Sandi & Ron

For two and a half years we have been waiting…..In that time we have been dragged through the courts and humiliated. We had to get out of the property as the stress was too much. Since then have had to move three times. I am having to take antidepressants and my husband Ron has a pacemaker. Why do the laws of this so called lucky country, let the white collar criminals get away with so called Ponzi schemes. After all the rallies and all the letters written, not one of the powers that be has shown us any compassion. It is very disheartening as we get older to live like this, but we will fight on regardless.

Valerie

First heard about SNL in 2017 and moved into this house Jan 2018 thinking this was our forever home and were very happy here. Sadly, my husband passed away from Cancer in April 2019, then in May I learned of the Sterling collapse. I was already devastated having just lost my Husband, so the stress of losing all our money, put me in a very insecure position, as now I was living on a single pension and no savings. As with all of us involved, I have written, emailed etc to all Ministers,Treasurer, senators, ASIC and AFCA, all to no avail and with little response so far.

Brian & Carol

We responded to the ad and went to their seminar, after checking with ASIC and being told all good, we signed the paperwork. Approximately 18 months later we found ourselves having to pay rent to the actual landlord, we are now paying rent in a government housing 2 bedroom unit. Very depressed and unhappy.

Gwen

Like everyone Gwen was conned by the sales rep, that it would be a great idea to sell the family home and downsize to a smaller new house. She paid $12000 on improvements- ie roller shutters, and adjustable patio to name a few. Like everyone she was caught off guard with the non payment of rent, but came to an agreement with her landlord to pay a token amount from her pension until the matter resolved. On Friday 21st February 2020 she received an ultimatum letter from her landlord, to back pay outstanding rent & continue to pay market value, or buy outright. None of which she could afford, after Sterling stole her funds. This enormous stress of her being homeless made her very unwell. We rushed her to hospital on Monday Morning 24th February 2020, and she passed away on Tuesday night 25th February 2020 before her family could rush to be by her side. Gwen’s story is very similar to all the other victims. Had we have known of the Jones past history, we would have bypassed the Sterling New Life lease.