ASIC Industry Funding
The submission to the Treasury in relation to the Consultation Paper "Proposed Industry Funding Model of the Australian Securities and Investments Commission" was prepared by the Corporations Committee of the Business Law Section.
The Corporations Committee continues to hold the general views expressed in its submission dated 21 October 2015. While the Corporations Committee supports the development of a user pays funding model, it does not believe that the inclusion of enforcement costs in that model is appropriate from a policy perspective.
Enforcement activities are a public good and should not be imposed on industry generally. To the extent the Corporations Committee’s views on this issue are not accepted, it makes the following supplementary submissions:
- that the user pays funding model primarily impose those enforcement costs on entities that are subject to enforcement action as part of the enforcement action process;
- in calculating and allocating annual enforcement costs to be imposed through levies, amounts paid to consolidated revenue through enforcement action be credited against those enforcement costs.
You can read the full submission below.