ASIC confirms continuing use of Nuix products despite investigation

Mike Taylor

Managing Editor/Publisher, Financial Newswire

15 February 2022

The Australian Securities and Investments Commission (ASIC) has confirmed it is continuing to use software from Nuix Pty Ltd, a company which was under investigation by the regulator, and that the investigation will not preclude further procurement of Nuix products.

ASIC has told a Parliamentary committee that its enforcement investigation with respect to Nuixis “completely separate from the teams responsible for ASIC’s procurement function, and the management of software services provided by Nuix”.

Under questioning from Labor Senator, Deborah O’Neill ASIC said that Nuix currently provides early case assessment software, evidence management software and support services to the regulator with the contract due to expire on 27 March, this year.

Further, ASIC said that it had not imposed additional conditions or requirements in relation to its contract with Nuix.

“Nuix is continuing to provide early case assessment, evidence management software and support services to ASIC in accordance with the terms and conditions of the contract,” ASIC said.

The regulator said it was expecting to publish a new request for tender relating to the software provision before the end of March this is year and is aiming to have a contract in place by the middle of next year.

Nuix, a company associated with Macquarie Group, was under investigation by ASIC over allegations of insider trading. That investigation was dropped by ASIC last week but the regulator is continue to investigate issues with respect to the company’s market disclosure.

Nuix is also facing a class action.