Category Archives: Corporations Act

ASIC guidance to directors on their duty to prevent insolvent trading

insolvent trading

One of the most difficult roles of a director is to determine whether the company is insolvent. ASIC has released a Consultation Paper outlining proposed guidance to directors on their duty to prevent insolvent trading: Consultation Paper 124 Directors’ duty to prevent insolvent trading: Guide for directors (CP 124). ASIC’s draft Regulatory Guide refers to […]

Ripoll report on financial products and services released

The Parliamentary Joint Committee on Corporations and Financial Services (chaired by Bernie Ripoll MP) has released its report into the issues associated with recent financial product and services provider collapses, such as Storm Financial, Opes Prime and other similar collapses, with particular reference to: the role of financial advisers; the general regulatory environment for these […]

ASIC v Rich: ASIC One.Tel case against Rich and Silbermann dismissed

In Australian Securities and Investments Commission v Rich[2009] NSWSC 1229 Judge Austin decided that ASIC had failed to prove its case against One.Tel director and joint chief executive Jodee Rich and One.Tel’s finance director Mark Silbermann. ASIC brought civil penalty proceedings for breach of the statutory duty of care of company directors and officers. The […]

Corporations Legislation Amendment (Financial Services Modernisation) Act 2009 assented to

financial services modernization

The Corporations Legislation Amendment (Financial Services Modernisation) Act 2009 received royal assent on 6 November 2009. It is expected that Schedule 1 (margin lending), Schedule 2 (trustee companies) and parts of Schedule 3 (debentures) will commence by 1 January 2010. The rest of the Act commenced on 6 November 2009. Draft regulations and example PDS