ASIC has released a consultation paper on its proposal to develop and implement a Financial Services Panel to add a strong element of peer review to regulator’s administrative decision making processes.
ASIC Chairman Greg Medcraft said, “ASIC’s aim in establishing a Panel is to enhance the impact of ASIC’s administrative decisions. The significance of being judged by peers cannot be underestimated. Peer review panels are a form of co-regulation in Australia and overseas.
“The Panel will also bring broader experiences and perspectives into ASIC’s decision making and ensure decisions reflect current industry practices and standards”.
ASIC is proposing that the Panel would be responsible for determining whether ASIC should ban individuals from the financial services and credit industries for misconduct. We would select matters and refer them to the Panel where they are significant, complex or novel. Over time, we may expand the range of matters on which the Panel will make decisions.
The Panel would comprise financial services and credit industry participants and non-industry participants (e.g. lawyers or academics) with relevant expertise, and at least one ASIC staff member. The Panel would sit alongside ASIC’s existing administrative structures and processes.
ASIC will be consulting on:
- how the Panel would enhance the impact of ASIC’s administrative decisions;
- the types of matters that would be referred to the Panel; and
- the optimal composition of the Panel.
Submissions on Consultation Paper 281 Financial Services Panel (CP 281) are due by 23 May 2017.