24 December 2019

Taking action on the Banking, Superannuation & Financial Services Royal Commission


Recommendations 6.9: Statutory obligation to co-operate and 6.11 Formalising meeting procedure

The Morrison Government has today released for consultation draft legislation which implements recommendations 6.9 of the Financial Services Royal Commission which will oblige the Australian Securities and Investments Commission (ASIC) and the Australian Prudential Regulation Authority (APRA) to:

  • co-operate with one another;
  • share information to the maximum extent practicable; and
  • notify the other whenever it forms the belief that a breach of the law for which the other regulator has enforcement responsibility has occurred.

These new provisions will enable the regulators to support each other in discharging their regulatory functions effectively, and ensure that there are no unnecessary barriers to their sharing information.

These obligations are supplemented by the release of the updated Memorandum of Understanding between APRA and ASIC, which implements Recommendation 6.10 of the Hayne Royal Commission.

The exposure draft legislation will also implement recommendation 6.11 by making amendments to formalise the meeting procedures which apply to ASIC, bringing them in line with those that apply to APRA.

The Government is taking action on all 76 recommendations contained in the Final Report of the Royal Commission. Restoring trust in Australia's financial system is part of the Morrison Government's plan for a stronger economy.

The exposure draft materials are available on the Treasury website.