ASIC is looking at over 40 court cases — including criminal prosecutions — stemming from the banking royal commission.

The Australian Securities and Investments Commission (ASIC) says it is adopting a litigate-first strategy, and will push for more funds to back its aggressive stance and potentially pay for new responsibilities it will gain.

ASIC enforcement teams are “undertaking investigations into 12 matters that were cases studies before the royal commission” and assessing 16 more case studies “to determine whether investigations should be commenced”.

“ASIC expects these investigations to result in a number of referrals to the Commonwealth Director of Public Prosecutions for assessment for criminal prosecution,” the regulator said.

The authorities have already launched civil action in the Federal Court against the trustee of a NAB super scheme for millions of dollars in fees it allegedly charged for services it did not deliver, alongside separate civil action against Dover Financial Services over alleged misleading conduct.

ASIC says it has increased its enforcement investigations by 15 per cent, and that the number of enforcement investigations of misconduct by large financial institutions has risen by 50 per cent since last February.

ASIC was slammed in the royal commission for its willingness to do deals with banks that had committed serious breaches of the law.

“Much more often than not, when misconduct was revealed, little happened beyond apology … a drawn-out remediation program and protracted negotiation with ASIC of a media release, an infringement notice, or an enforceable undertaking that acknowledged no more than that ASIC had reasonable ‘concerns’,” Justice Kenneth Kayne wrote.

ASIC has now adopted a new approach that emphasises court-based enforcement, which it calls a ‘Why not litigate?’ posture.

It has also established a separate Office of Enforcement to promote and pursue litigation.