ASIC today released a report covering enforcement results for the period 1 January 2017 to 30 June 2017. The report highlights investigations undertaken during this period as well as a high level analysis of the results.
Read moreNow ASIC May Pursue the Commonwealth Bank of Australia
Why have one when you can have two? That is not an unreasonable expectation when your favourite cricket team has just hit a six off the penultimate ball of the innings to get within five runs of victory. Or when, as a struggling university graduate, you receive two great job offers on consecutive days.
However, the same cannot be said of the CBA. Less than two weeks ago, AUSTRAC announced that it had initiated civil proceedings against CBA in regard to serious and systemic issues relating to alleged contraventions of the Anti-Money Laundering and Counter-Terrorism Financing Act (Cth) 2006. This involved the use of Intelligent Deposit Machines - a type of ATM which accepts cash deposits (amongst other things).
Read moreAUSTRAC Initiating Proceedings Against Commonwealth Bank of Australia
AUSTRAC is taking CBA to court over serious and systemic issues of non-compliance with the AML/CTF Act. The numbers and allegations are staggering.
Read moreEnforceable Undertaking - NSXA Market Participant
ASIC has accepted an Enforceable Undertaking from Avalon Pacific Capital Pty Ltd in regard to certain trading activity conducted by its clients. The traded securities were overseas registered companies.
Avalon Pacific Capital Pty Ltd has agreed to cancel its status as a Market Participant (amongst other things)...
Read more2GB’s Chris Smith, Alex Malley and Me
Chris Smith is a highly successful broadcaster on 2GB. He pretty much owns the afternoon timeslot and his success cannot be just brushed aside because you may take issue with some of his positions
In any event, following the disintegration of my BS meter after listening to one particular podcast which was choked full of fawning and kowtowing, I decided to write to Chris kindly informing him of Alex Malley’s public record.
Read moreWhere To Now For CPA Australia
CPA Australia only has itself to blame. Only a miracle on par with Moses parting the Red Sea will not prevent CPA public practice members losing additional protection from malpractice lawsuits from 8 October 2017.
The Professional Standards Council has confirmed that its professional standards scheme, which limits the liability of participants who are members of an appropriate industry organisation, will not be renewed before it expires on 7 October 2017. The consequences of this are that many public practice members will see an increase in their Professional Indemnity insurance premiums and be exposed to unlimited liability for negligence.
Read moreASIC Consulting on Revised Licence Regime for Domestic and Overseas Operators
ASIC has announced that it is seeking feedback on the proposed rules which are documented in Consultation Paper 293 - Revising the market licence regime for domestic and overseas operators (“CP 293”).
Read moreASIC Limited Licence Checks
Following the cessation of the accountants’ exemption, self-managed superannuation funds (“SMSFs”) became a financial product under the licensing provisions of the Corporations Act 2001 (Cth) (“the Act”). From 30 June 2016, those accountants wishing to provide advisory and dealing services in regard to SMSFs needed to either obtain an Australian Financial Services (“AFS”) Licence, or be appointed as an Authorised Representative of another licensee.
Read moreASIC Announcements
ASIC has made two important announcements over the past couple of days.
Read moreAUSTRAC Roundup
Here is a roundup of recent news from AUSTRAC.
Read moreASIC Review of Financial Reports
ASIC has published the results of its review of 2016 financial reports of 90 entities. The report makes interesting reading especially in preparation for the 30 June 2017 financial reports.
Read moreCommunicating ASIC’s Findings From Audit Files
Section 127(2D) of the Australian Securities and Investments Commission Act 2001 (Cth), permits ASIC to disclose details of specific financial reporting and audit quality findings to directors, audit committees, senior management, responsible entities or disclosing entities.
Read moreASIC Review on Licensees Which Hold Assets
ASIC has released the findings of a report following a review of compliance procedures by those licensees with asset holding obligations imposed by ASIC Regulatory Guide (“RG”) 133 Managed Investments and Custodial or Depository Services: Holding Assets.
The safekeeping of clients’ funds and property (assets) is a critical functionality in the financial services sector. The conduct of such participants has a direct correlation on the level of investor trust and confidence in the financial system as a whole.
Read more
Joint Operation Between ASIC and FWO
The Fair Work Ombudsman and ASIC will audit 50 businesses in the Melbourne CBD and inner suburbs in their second joint operation.
On 20 and 21 June 2017, Fair Work inspectors will be checking time and wage records to ensure employers are paying their workers correctly and complying with pay slip and record-keeping requirements.
Concurrently, ASIC analysts will be conducting site visits to raise awareness of the role of ASIC and the tools and resources that are available to assist small businesses with their compliance obligations.
For further information, click here.
Should you have any queries about ASIC or other issues involving compliance, licensing, or corporate governance, please contact Jeremy Danon, director of Ariel & Associates Pty Ltd on (02) 8223 3355 or at jeremy@ariel.associates.
ASIC - A New Funding Model
For some time now, ASIC has floated the idea of having a user pay system in regard to financial service licensees. This has been in response to the never ending chorus of insufficient resources due to a lack of funding.
The Australian Government conceived the idea of such a model in April 2016 (following a recommendation from the Murray Financial System Inquiry) whereby those entities who created the need for and benefited from financial services regulation would fund ASIC.
ASIC heralded the passage of the ASIC Supervisory Cost Recovery Levy Bill 2017 (Cth) and its related bills through the Australian Senate on 15 June 2017 with ASIC Chairman, Mr Greg Medcraft noting that the bill enjoyed support across the political spectrum.
From 1 July 2017, ASIC’s regulatory costs will be funded by industry participants through the imposition of annual levies.
Read moreASIC Report on Registered Funds
ASIC has today released the findings of a surveillance review into the registered managed investment schemes sector. In all, ASIC’s review included 28 Responsible Entities across 336 schemes - which represented about 9% of all current schemes.
A Responsible Entity is the body corporate responsible for the management and operation of a registered managed investment scheme - that is a scheme which maintains retail clients. On top of its general obligations as a licensee, a Responsible Manager is also subject to:
Acting in the best interest of the scheme’s members.
Ensuring compliance with the scheme’s compliance plan.
Ensuring the scheme property is clearly identified and held separately from property from other schemes or from the Responsible Entity itself.
Holding the scheme property on trust.
Briefing for Limited AFS Licensees
It has been almost 12 months since the requirement that all accountants who provide services covering Self-Managed Superannuation Funds be appropriately licensed. Accountants could either obtain their own Australian Financial Services (“AFS”) Licence, or be appointed as an Authorised Representative of a licensee with the appropriate authorisations.
Ariel & Associates Pty Ltd invites you to a free briefing to assist you with your obligations as financial services provider, especially as we approach financial year end.
Read moreASIC’s Approach to Regulatory Technology
In March 2015, ASIC established an Innovation Hub which was designed to assist financial technology (“fintech”) businesses navigate the financial services system. Similarly, ASIC has taken proactive steps to ensure it engages with industry in regard to developments in regulatory technology (“regtech”).
ASIC has defined regtech as “the use of new technologies to solve regulatory and compliance requirements more effectively and efficiently. These technologies could include use of artificial intelligence, natural language processing, data reporting, regulatory codification and big data analysis technologies.”
Read moreASIC establishes Financial Advisers Consultative Committee
ASIC has established the Financial Advisers Consultative Committee. The Committee is designed to improve engagement with ASIC and to identify areas of concern which would materially affect the financial advice industry.
Competitor to ASX - Clearing and Settlement
UK based startup SETL is proposing to enter the Australian market to take on the ASX in its clearing and settlement businesses.