Summary of ASIC‘s Enforcement focus – 2026 and Beyond
This document outlines the Australian Securities and Investments Commission’s (ASIC) enforcement priorities and recent outcomes. Here’s a breakdown:
Key Takeaways:
* increased Enforcement Activity: ASIC is significantly increasing its enforcement efforts, doubling new investigations and nearly doubling court filings in the last year. They are also pursuing more criminal prosecutions with longer sentences.
* Focus on Current Economic Challenges: ASIC’s 2026 priorities directly address issues impacting Australians, notably the rising cost of living and emerging risks in the financial sector.
* Important Penalties & Prosecutions: ASIC is securing substantial penalties and lengthy prison sentences for financial misconduct.
2026 Enforcement Priorities (New):
* Misleading Pricing: Targeting practices that inflate costs for consumers.
* Poor Private credit Practices: Increased surveillance and enforcement in this growing sector.
* Financial Reporting Misconduct: focus on accurate and timely financial reporting, especially for entities with unlisted assets (super funds, private credit funds).
* Insurance Claims & Complaints: Addressing failures in handling claims and complaints.
* Shield & First Guardian Collapse: Continuing inquiry and prosecution of those responsible.
Continuing Enforcement Priorities:
* Insider Trading: Strengthening investigation and prosecution.
* Exploitation of Financial Difficulty: Combating predatory lending and other misconduct targeting vulnerable consumers.
* Evading Small Business Creditors: Addressing unlawful practices.
* Super Trustee Accountability: Holding superannuation trustees responsible for member service failures.
* Auditor Misconduct: investigating and prosecuting misconduct by auditors.
Recent Enforcement Outcomes (Past Year):
* ANZ Penalties: Proposed $240 million in penalties (possibly the largest ever against a single entity).
* Macquarie & Shield Master Fund: Secured a court enforceable undertaking for $320 million repayment to investors.
* Chris Marco (Fraudster): 14-year prison sentence – the longest sentence related to an ASIC criminal investigation.
Overall Goal:
ASIC aims to maintain a fair, strong, and efficient financial system for all Australians by protecting consumers, upholding market integrity, and deterring misconduct. They emphasize protecting vulnerable consumers,including First Nations people.
