AFA News 11 August 2022. On Wednesday 3 August 2022, ASIC issued the updated Regulatory Guide 263 on the operation of the Financial Services and Credit Panel (FSCP), which is the new disciplinary body for financial advisers. As part of this release, ASIC also issued Information Sheet 273 on FSCP decisions: Your rights.
In our submission in response to the proposed changes to RG 263 in March 2022, we addressed a number of potential issues, including arguing against issuing media releases with respect to every financial adviser who is the subject of a decision by an FSCP that must be reported on the FAR. We felt that a stand-alone media release for a more moderate matter was unnecessary. ASIC have decided to publish an FSCP Outcomes Register, which we think provides a more balanced approach, publicising the outcome and reporting the name of the adviser, if the penalty is subject to recording on the FAR, but not to the extent of a standalone media release.
Info Sheet 273 sets out the rights of a financial adviser caught in a disciplinary matter and addresses the following:
- The ability to speak to the chair of the disciplinary committee.
- The right to get the decision in writing.
- Accessing other key documents through the Freedom of Information process.
- Applying to ASIC to have the decision varied or revoked.
- Seeking an independent review through the Administrative Appeals Tribunal.
Information Sheet 273 is probably not going to be front of mind for most advisers unless and until they are the subject of a disciplinary matter and are caught up in an FSCP panel. Nonetheless, it is handy to know that it exists.
We will be interested to observe how the new disciplinary model plays out and to see the reporting of matters that are the subject of an FSCP decision and penalty.
For any questions on the FSCP, please email us at firstname.lastname@example.org.
Issued 11.08.2022. AFA Policy & Education Update