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ASIC penalties to be further strengthened

ASIC penalties to be further strengthened

Reporter
— 1 minute read

ASIC will be able to jail corporate criminals for as long as 10 years under changes to the Corporations Act announced by the government today.

In a statement issued today, Treasurer Scott Morrison said the reform will represent the "most significant increases in maximum civil penalties in twenty years".

The government will increase penalties under the Corporations Act to:

  • "For individuals: (i) 10 years' imprisonment; and/or (ii) the larger of $945,000 OR three times the benefits;
  • For corporations: (i) the larger of $9.45 million OR (ii) three times benefits OR 10% of annual turnover.

"The Government will expand the range of contraventions subject to civil penalties, and also increase the maximum civil penalty amounts that can be imposed by courts, to the maximum of:

  • the greater of $1.05 million (for individuals, from $200,000) and $10.5 million (for corporations, from $1 million); or
  • three times the benefit gained or loss avoided; or
  • 10% of the annual turnover (for corporations)

"In addition, ASIC will be able to seek additional remedies to strip wrongdoers of profits illegally obtained, or losses avoided from contraventions resulting in civil penalty proceedings."

 

ASIC penalties to be further strengthened
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