ASIC has prosecuted 78 individuals for failing to assist registered liquidators over the six months from 1 January to 30 June 2024.

These enforcement actions followed the failure of company officers and other individuals to provide registered liquidators with access to company books and submit a report on company activities and property (ROCAP).

ASIC Deputy Chair Sarah Court said, ‘In the first six months of this year ASIC prosecuted 78 individuals for 146 offences under the Corporations Act for failing to assist liquidators, with fines of more than $430,000 imposed.’

‘Corporate insolvencies have continued to rise over the last 12 months. It is important that individuals assist liquidators by meeting their statutory obligations to minimise the impact of a company’s failure on creditors. ASIC continues to prosecute those who frustrate the winding up of a company by not submitting reports and providing company books required.’

The individuals involved were prosecuted summarily in Local and Magistrates’ Courts by ASIC and the Commonwealth Director of Public Prosecutions.

Background

Before undertaking a prosecution, ASIC gives individuals an opportunity to comply with their statutory obligations to assist registered liquidators and avoid prosecution. ASIC will then take enforcement action if individuals continue to prevent liquidators from having access to company books and ROCAP.

Registered liquidators can report misconduct via the Liquidator Assistance Program.