{"id":59719,"date":"2022-03-01T12:25:26","date_gmt":"2022-03-01T01:25:26","guid":{"rendered":"https:\/\/riskinfo.com.au\/news\/?p=59719"},"modified":"2022-03-01T13:51:15","modified_gmt":"2022-03-01T02:51:15","slug":"asic-consults-on-disciplinary-panel-regulatory-guidance","status":"publish","type":"post","link":"https:\/\/riskinfo.com.au\/news\/2022\/03\/01\/asic-consults-on-disciplinary-panel-regulatory-guidance\/","title":{"rendered":"ASIC Consults on Disciplinary Panel Regulatory Guidance"},"content":{"rendered":"<p>ASIC has released a consultation paper seeking feedback on proposed updates to its Regulatory Guide on the Financial Services and Credit Panel.<\/p>\n<p>A statement from ASIC\u00a0 explains its<a href=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/cp359-published-28-february-2022.pdf\" target=\"_blank\" rel=\"noopener\"><em> Consultation Paper 359 Update to RG 263 Financial Services and Credit Panel\u00a0<\/em><\/a> is seeking feedback on proposed updates to the Regulatory Guide (issued in November 2017) and that these updates reflect changes to the Financial Services and Credit Panel (FSCP) under the Better Advice Act.<\/p>\n<p>It says the Act granted the FSCP its own legislative functions and powers to address a range of misconduct by, and circumstances relating to, financial advisers (see: <a href=\"https:\/\/riskinfo.com.au\/news\/2022\/02\/15\/adviser-peer-review-panel-key-names-confirmed\/\" target=\"_blank\" rel=\"noopener\">Adviser Peer Review Panel Named<\/a>).<\/p>\n<p>The consultation paper is now seeking feedback on ASIC\u2019s proposed approach to:<\/p>\n<ul>\n<li>Determining when to convene a sitting panel of the FSCP<\/li>\n<li>Generally hold hearings of sitting panels using technology<\/li>\n<li>Publicising decisions of sitting panels.<\/li>\n<\/ul>\n<p>Key points highlighted in the consultation paper in the section on Types of Matters to be Referred to a Sitting Panel note that the Better Advice Act and related regulations set out the circumstances where ASIC must convene a sitting panel.<\/p>\n<p>ASIC may also convene a sitting panel in other circumstances and this section of the paper outlines and seeks feedback on the criteria it proposes to apply to:<\/p>\n<ul>\n<li>Decide when to convene a sitting panel at its discretion<\/li>\n<li>Determine whether loss or damage to a client or benefit to a financial adviser is material<\/li>\n<li>Assess a financial adviser\u2019s fitness and propriety<\/li>\n<\/ul>\n<p>Amongst the\u00a0 proposals around &#8216;when ASIC may convene a sitting panel&#8217; the consultation paper states that Under s139(1) of the ASIC Act, ASIC has a broad discretionary power to convene a sitting panel to consider misconduct by financial advisers.<\/p>\n<blockquote><p>&#8230;we propose to consider the regulatory benefit that may be derived from referring a matter to a sitting panel&#8230;<\/p><\/blockquote>\n<p>\u201cIn determining whether ASIC will convene a sitting panel using this power, we propose to consider the regulatory benefit that may be derived from referring a matter to a sitting panel \u2014 for example, whether misconduct is widespread or part of a growing trend, and whether referring the matter to a sitting panel will send an effective and deterrent message to industry.&#8221;<\/p>\n<p>ASIC is encouraging comments from industry and other interested stakeholders on its proposed approach to setting principles and processes relating to the FSCP by 28 March 2022.<\/p>\n<p><a href=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1.png\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-59730\" src=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1.png\" alt=\"\" width=\"792\" height=\"565\" srcset=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1.png 792w, https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1-300x214.png 300w, https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1-768x548.png 768w, https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1-696x497.png 696w, https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1-589x420.png 589w, https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/ASIC-panel-1-100x70.png 100w\" sizes=\"auto, (max-width: 792px) 100vw, 792px\" \/><\/a><\/p>\n<figure id=\"attachment_59740\" aria-describedby=\"caption-attachment-59740\" style=\"width: 703px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/asic-panel-2-1-e1646097618241.png\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-59740\" src=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/asic-panel-2-1-e1646097618241.png\" alt=\"\" width=\"703\" height=\"402\" srcset=\"https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/asic-panel-2-1-e1646097618241.png 703w, https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/asic-panel-2-1-e1646097618241-300x172.png 300w, https:\/\/riskinfo.com.au\/news\/files\/2022\/03\/asic-panel-2-1-e1646097618241-696x398.png 696w\" sizes=\"auto, (max-width: 703px) 100vw, 703px\" \/><\/a><figcaption id=\"caption-attachment-59740\" class=\"wp-caption-text\">Courtesy of ASIC.<\/figcaption><\/figure>\n<p>As background, the ASIC media statement notes that the powers of the FSCP under the <em>Better Advice Act<\/em> include the power to direct financial advisers to undertake specified training, counselling or supervision and to report certain matters to ASIC.<\/p>\n<p>\u201cAn FSCP sitting panel may also: suspend or cancel a financial adviser\u2019s registration; issue infringement notices in specified circumstances; recommend that ASIC commence civil penalty proceedings; and enter into enforceable undertakings with financial advisers.\u201d (See: <a href=\"https:\/\/riskinfo.com.au\/news\/2022\/01\/11\/changes-to-financial-adviser-disciplinary-systems\/\" target=\"_blank\" rel=\"noopener\">Changes to Financial Adviser Disciplinary Systems<\/a>).<\/p>\n","protected":false},"excerpt":{"rendered":"<p>ASIC has released a consultation paper seeking feedback on proposed updates to its Regulatory Guide on the Financial Services and Credit Panel. A statement from ASIC\u00a0 explains its Consultation Paper 359 Update to RG 263 Financial Services and Credit Panel\u00a0 is seeking feedback on proposed updates to the Regulatory Guide (issued in November 2017) and [&hellip;]<\/p>\n","protected":false},"author":24,"featured_media":59733,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[],"class_list":{"0":"post-59719","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-compliance-regulation"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/59719","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=59719"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/59719\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/59733"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=59719"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=59719"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=59719"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}