The Australian Securities and Investments Commission (ASIC) has ramped up efforts against online investment scams, shutting down an average of 130 fraudulent websites per week.
According to its latest enforcement and regulatory update, the regulator has removed more than 10,000 scam websites and online advertisements, including fake investment platforms, phishing links, and cryptocurrency scams.
ASIC Deputy Chair Sarah Court said scammers are becoming increasingly sophisticated in their tactics, making it harder for consumers to distinguish between legitimate and fraudulent investment opportunities.
“Scammers are using increasingly sophisticated technology to steal money from hard-working Australians with investment scams that can look shockingly legitimate. This new data demonstrates that ASIC is making Australia safer by stamping out these scams before they reach Australians,” Court said.
ASIC’s crackdown comes alongside legal action against HSBC Australia, which it alleges failed to adequately protect customers from scams that resulted in millions of dollars in losses. The lawsuit follows a broader review of 15 banks outside the big four, with ASIC finding significant shortcomings in their anti-scam measures.
The regulator has also expanded its enforcement efforts, launching 109 new investigations in the last six months of 2024, a 31% increase from previous periods. It initiated 15 court cases, completed 376 surveillance activities, and secured $46.6 million in civil penalties, along with 13 criminal convictions.
ASIC Chair Joe Longo said recent outcomes reflect the impact of the agency’s internal restructuring and a shift toward more proactive enforcement.
“The changes we have made mean ASIC is able to more efficiently process intelligence, leading to earlier commencement of investigations and surveillances,” Longo said.
ASIC has also taken enforcement action against major financial institutions, including NAB, over alleged failures to assist customers applying for financial hardship support; QBE Insurance for allegedly misleading customers on pricing discounts; and Cbus trustee United Super for delays in processing insurance claims and death benefits. The agency also conducted its first review of bank fees charged to low-income customers, leading to banks refunding over $28 million.
In a separate case, ASIC filed legal proceedings in the Supreme Court of New South Wales, alleging Regional Express Holdings Limited engaged in misleading and deceptive conduct and failed to meet continuous disclosure obligations.
Looking ahead, ASIC’s 2025 enforcement priorities will focus on preventing financial harm amid rising cost-of-living pressures, with Longo adding that banks, insurers, and superannuation trustees are especially under heightened scrutiny due to inconsistencies in consumer protections.
