ASIC recently released its annual report into the supervision of registered liquidators for the 2014 calendar year.
The report details the effect of ASIC’s actions in supervision, enforcement and educative work to improve the regulation of the insolvency and restructuring sectors. ASIC’s primary focus in 2014 was on three main areas:
- Competence; including issues surrounding timeliness, statutory reporting and maintenance of proper books;
- Independence;
- Improper gain.
The report outlines that in 2014 there was around a 15% reduction in reports of alleged misconduct of registered liquidators from the previous year.
Despite this, as at the end of 2014 ASIC had commenced formal investigative action into 21 registered liquidators and made 2 applications to the Companies Auditors and Liquidators Disciplinary Board.