ASIC selective on whistleblower activity
The Australian Securities and Investments Commission (ASIC) has said it will act on whistleblower activity only if doing so would result in a greater impact in the market and benefit the general public more broadly.
The regulator released an information sheet which explains how ASIC deals with whistleblower tip-offs, when it would act and how it would protect those who report misconduct.
The sheet was published a day before ASIC Chairman Greg Medcraft and his commissioners faced the Senate Economics References Committee as part of an inquiry which started after reports the regulator took as long as 16 months to respond to whistleblowers in a much-publicised case involving Commonwealth Financial Planning.
The regulator also said it would provide “prompt, clear and regular communication to those people who might be whistleblowers”, keeping in mind that much of ASIC’s investigative work must remain confidential.
“If you are a whistleblower, we recognise that you will probably have an ongoing interest in the matter, and while we cannot, for confidentiality reasons, provide much detail during the course of our review or any subsequent investigation, we undertake to contact you regularly to update you as best we can,” the information sheet states.
“As a matter is actioned, a dedicated Whistleblower Liaison Officer within ASIC will contact you regularly.”
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
