ASIC Grilled on Banking Code of Practice and Crypto Scandal

The Banking Code of Practice was originally designed to safeguard consumers from bad banking practices, however since the first code was issued, there has been a continual watering down of these protections, effectively rendering the code meaningless.

Currently, ASIC is conducting a review of the code. During the recent Senate Estimates, I inquired whether certain critical protections would be included, such as protections against de-banking, ensuring access to cash, and maintaining in-person banking services at branches.

Unfortunately, the responses provided were not encouraging. If this review fails to restore consumer protections to the Banking Code, One Nation will pursue a legislated response by way of a mandatory code.

Additionally, I inquired about ASIC's handling of the recent crypto scandal, where Australian investors lost hundreds of millions of dollars due to ASIC failing to advise of the risks. This contrasts with the Mayfair scandal, where ASIC's enforcement action actually caused the company and their investors to undergo a loss that would not have occurred without ASIC's actions.