A former SMSF adviser based in Queensland has faced court for allegedly breaching a seven-year ban related to a best interest duty failure.

The licence of a Victorian-based SMSF financial adviser has been cancelled by ASIC after services to retail clients ceased.

ASIC has cancelled the licence of an SMSF advisory business, while BT will pay $3 million in penalties for fee-for-no-service breaches.

A $700 increase in the ASIC adviser levy is evidence the funding model is unrealistic and unsustainable and needs urgent review.

Dixon Advisory and ASIC have entered into a heads of agreement to resolve the civil proceedings the regulator instigated against the financial services firm last year.