ASIC to go inside
ASIC will soon embed its enforcement staff into the major banks and wealth manager AMP.
A lengthy review by new ASIC chairman James Shipton, has called for expanded powers and funding to help deal with big financial companies and prevent harm to consumers before it occurs.
The corporate regulator will get a $70 million budget boost that should help it improve itself, after the financial services royal commission heard it has been “asleep at the wheel”.
ASIC will undergo a supervisory “refocus” to directly monitor governance and compliance.
“These new resources will ensure that ASIC is the tough cop on the beat — the tough cop that all Australians need, and expect, ASIC to be,” Financial Services Minister Kelly O'Dwyer said.
“The package will allow ASIC to better combat corporate misconduct and misconduct in the financial services industry like never before.”
Up to $26.2 million will be spent to help ASIC pursue serious misconduct actions against “well funded litigants”.
Another $6.8 million will go toward a special taskforce to “identify and pursue failings in large listed companies”, including deploying ASIC staff to investigate potential misconduct.
The Federal Government's whistleblower protection laws are set to be enhanced too, with $6.6 million to provide greater protections.