The Australian Securities and Investments Commission (ASIC) has obtained urgent interim orders from the Federal Court to freeze the bank accounts of Gregory Raymond Cotton from Melbourne and First Mutual Private Equity Pty Ltd, of which Mr Cotton is the sole director.

The interim orders also bar Mr Cotton and First Mutual from incurring new liabilities or transferring monies in any bank account until further order.

ASIC sought these orders on an urgent basis in order to safeguard investor funds while an investigation is underway.

Mr Cotton and First Mutual are suspected by ASIC to have received around $53 million of funds intended for investment. Some of those funds are suspected by ASIC to have not been used for that purpose and may be at risk.

Mr Cotton was notified of the Court hearing but did not attend.

ASIC’s investigation is ongoing.