ASIC concerned at breach reporting failures
The Australian Securities and Investments Commission has signalled the need for significant breach reporting improvements in circumstances where the total customer loss identified was approximately $368 million but licensees did not intend to compensate clients in all cases.
The regulator said that it was of concern that licensees indicated they did not intend to compensate impacted customers in 4% of reports that had identified customer financial loss.
It said that its report also showed that where remediation was planned, in many cases, it was taking licensees to long to complete.
“Licensees indicated in 236 reports (12% of the total 1,952 reports involving compensation to customers) that it had taken or was estimated to take more than one year to finalise,” the ASIC report said.
“ASIC will engage further with those licensees indicating they have failed to remediate a breach. ‘We remind licensees that where things do go wrong, we expect proactive and timely action to remediate impacted customers,” ASIC commissioner, Sean Hughes said.
ASIC creating another fake report in preparation to justify the CSLR Levy in addition to the ASIC Funding Levy. Who determines whether the breach has caused a loss and how is it determined how much the damages are?
Don’t forget the costs of the single disciplinary body, which sits under asic. This will be a stitch-up for sure.
4% what an overreaction by ASIC disgraceful