ASIC consults on Aust. Financial Complaints Authority oversight

MINISTER for Revenue and Financial Services, Kelly O'Dwyer has welcomed the Australian Securities and Investments Commission (ASIC) opening up to public consultation on draft regulatory guidance for its oversight of the new Australian Financial Complaints Authority (AFCA).

“ASIC’s draft guidance is another important step in establishing the AFCA — a new one-stop shop for external dispute resolution in the Australian financial system,” Ms O’Dwyer said. 

“We are putting the governance processes in place so the AFCA is ready to start receiving consumer and small business disputes no later than November 1, 2018.”

Parliament passed legislation to establish the AFCA scheme on February 14 this year. Under the legislation, ASIC will have a new 'directions' power that will strengthen its oversight of the new external dispute resolution scheme.

“The draft regulatory guidance sets out ASIC’s approach and I encourage all stakeholders to be involved in this important consultation process,” Ms O’Dwyer said

The draft regulatory guidance Regulatory Guide 139, Oversight of AFCA, will be open for public consultation until April 6 this year..

The updated RG 139 will be finalised and published by the time AFCA launches.

ASIC is also inviting stakeholder views on the need for any transitional relief from external dispute resolution disclosure obligations.

The consultation paper and draft regulatory guide is available on the ASIC website.

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