ASX Referrals/Notifications to ASIC

ASX works closely with ASIC, the government regulator with responsibility for enforcing company and financial services laws, to ensure that all Participants engaged in the market have confidence in its operation. This is central to the market’s reputation for integrity.

As a licensed market operator and provider of clearing and settlement facilities, ASX is obliged to notify ASIC of certain matters. These include:

  • Suspected significant contraventions of the market, clearing or settlement rules or the Corporations Act, such as allegations of insider trading and market manipulation;
  • Matters that may adversely affect the ability of a Market Participant to meet its obligations as a financial services licensee;
  • Specific matters prescribed by law; and
  • The taking of any kind of disciplinary action against a Market or Clearing and Settlement Participant.

The Memorandum of Understanding (PDF 878KB) between ASX and ASIC also provides guidance on the referral of supervisory matters from ASX to ASIC.

ASIC, rather than ASX, is conferred with the powers of civil and criminal enforcement.

Overview of Referrals/Notifications from ASX to ASIC 

   2006/2007 2005/2006 2004/2005
Total  214 101 128

A single Referral/Notification from ASX to ASIC may include more than one contravention of an ASX Rule or the Corporations Act

ASX also cooperates with ASIC on broader enforcement issues facing the market.  Some outcomes achieved by ASIC as a result of referrals or other forms of assistance, as disclosed on the ASIC website, include: