ASIC hand signals to the judiciary

Mike Taylor

Managing Editor and Publisher

8 April 2026

ANALYSIS

As an experienced barrister, Australian Securities and Investments Commission (ASIC) chair, Joe Longo will know that judges value their independence and therefore are unlikely to be greatly influenced by a regulator accusing them of being too soft in dealing with particular miscreants.

Longo is now less than two months from leaving his role as ASIC chair and has, apparently, used a podcast to urge the Australian judiciary to hand down more prison sentences when convicting criminals, with his particular point of reference being those found guilty of insider trading.

His comments appear to align with his contribution to ASIC’s Enforcement and Regulatory Update in which he reviewed his leadership of the regulator claiming that, “today, ASIC is one of the most active law enforcement agencies in the country. We are taking more cases to court, achieving record penalties, and protecting consumers. Over the last five years, we have doubled the number of investigations and recorded a 20% increase in civil enforcement proceedings”.

In the area of insider trading, he told an Australian Financial Review podcast that ASIC “have reached a point now where we’re inviting the judiciary to take these matters very seriously and to take, as the first consideration, a custodial sentence, imprisonment”.

“If you’re convicted of insider trading, as a general proposition, we would expect a person to face a prison sentence,” Longo said.

The ASIC chair makes a good point, but given his long experience as a lawyer, Longo knows very well that the lawyers it retains have always had the ability to urge custodial outcomes at the time of sentencing.

Those legal teams are retained by the Commonwealth Director of Public Prosecutions, but they carry ASIC’s brief

In short, while Longo can use his last month or so as ASIC chair sending hand signals, experienced judges will treat each case on its merits.

When Longo leaves his role on 31 May he is being succeeded by another barrister, Sarah Court, who will doubtless have her own approach.