The corporate watchdog will continue their crackdown on the financial sector, with funding to support embedded officers inside the major banks and more cash to support legal costs.
The Federal Government is expected to announce an extra $70 million for the Australian Securities and Investments Commission (ASIC) initiative.
ASIC will now be able to place dedicated staff within the walls of ANZ, Westpac, Commonwealth Bank and National Australia Bank to crackdown on poor practises.
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Staff from corporate watchdog ASIC will be placed in the offices of the big four banks in an effort to keep them honest. The decision will be funded by the government to the tune of $70 million dollars, to monitor compliance and fight against corporate misconduct. #TenNews pic.twitter.com/ivrfkGHWGd
— TEN Eyewitness News (@channeltennews) August 6, 2018
The decision follows a lengthy review from ASIC, Treasurer Scott Morrison and Financial Services Minister Kelly O’Dwyer, and continued fallout from the findings of the Royal Commission into the sector.
There will also be a boost in the watchdog’s litigation budget.
This gives the organisation a greater capacity to take the wealthier businesses in the financial sector.
Minister O’Dwyer told the ABC the funding will help stop harm to consumers before it happens.
“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,” she said.
The Royal Commission continues today in Melbourne.
This round of hearing is investigating $2.6 trillion industry of superannuation.