The Government has just announced another inquiry into the conduct of insolvency practitioners. This inquiry will consider “reforms with a view to address possible misconduct in the insolvency profession and to improve the value for money for recipients of insolvency services.”
The release of an “options paper” titled “A modernisation and harmonisation of the regulatory framework applying to insolvency practitioners in Australia”, follows the often feverish 2010 Senate Economics References Committee inquiry into the role of liquidators and administrators, their fees and their practices, and the involvement and activities of the Australian Securities and Investments Commission.
In issuing the options paper the Government says that the Senate Committee’s recommended that the corporate insolvency arm of ASIC be transferred to ITSA to form a new personal and corporate insolvency regulator will not be accepted.
The paper calls for comment and suggestions aimed at ensuring that the framework for insolvency practitioners:
• promotes a high level of professionalism and competence by practitioners;
• promotes market competition on price and quality;
• promotes increased efficiency in insolvency administration; and
• enhances communication and transparency between stakeholders.
To obtain a copy of the paper CLICK HERE.
Interested parties are invited to comment on the paper. Closing date for submissions: Friday, 29 July 2011. Address written submissions to:
Governance and Insolvency Unit
Corporations and Capital Markets Division
PARKES ACT 2600
Enquiries: Timothy Beale on (02) 6263 2870.