ASIC caught out on prevention
Michael West reports that “Last year, the government awarded ASIC with $348 million for its budget. In return, ASIC collected $1.2 billion for the government – sharply up from $998 million the year before. The agency is a huge cash cow for the Commonwealth government. Spending money prosecuting banks would put this at risk.” Surely that goes against the primary function of a regulatory agency, which is to prevent harm to both natural persons and legal persons. Anyone with experience of law enforcement knows the best prevention is the perceived risk of getting caught multiplied by the price for getting caught. If either of those is zero then prevention is also zero. The corollary being that to prevent harm in the first place, the agency must demonstrate that there is a high likelihood of getting caught and advertise the prices to be paid by miscreants.
– John F. Simmons, Kambah, ACT