Submission: ASIC consults on misconduct reporting

ASIC has released Consultation Paper 377 proposing updates to Regulatory Guide 16 for external administrators and controllers when reporting and lodging statutory reports about alleged misconduct.

The proposed updates aim to provide greater clarity on ASIC’s expectations of external administrators and controllers’ compliance with the reporting obligations and ASIC’s approach to the reports it receives.

In its press release, ASIC stated that "there have been a number of developments that have influenced the need for updates to RG 16. These include the expansion of case law, legislative reforms (including simplified liquidation reporting), and feedback from the inquiry into corporate insolvency in Australia by the Parliamentary Joint Committee on Corporations and Financial Services (the Committee). In particular, the Committee recommended that until a comprehensive review of the current statutory reporting obligations can occur, ASIC should consider whether any timely changes can be made to the reporting thresholds, and how ASIC responds to insolvency practitioner reports."

Feedback on updates to ASIC Regulatory Guide 16 External administrators and controllers: Reporting of possible offences and misconduct (RG 16) is open until 6 June 2024. ARITA will be making a submission.

Read Consultation Paper 377.

Members are also advised that consultation is currently open in respect of proposed changes to Regulatory Guide 258 Registered Liquidators: Registration, disciplinary action and insurance requirements with consultation closing on 2 May 2024. ARITA will be making a submission.

Read Consultation Paper 376.