Businesses hit with almost $1 billion in fines amid record-setting watchdog crackdown

Australians have got $644 million back from major banks and financial companies as the industry watchdog cracks down on failures.

The Australian Securities and Investments Commission (ASIC) ordered a record $830 million in fines in the last financial year, against companies including Westpac, HSBC, Macquarie Securities and Union Standard.

In that time, an additional $644 million was paid back to tens of thousands of Australians as part of remediation, refunds and payments.

“We are pursuing cases that expose serious failures in systems, governance and conduct, from scams and hardship failures to market infrastructure, superannuation, private credit, financial reporting, and digital assets,” ASIC chair Sarah Court said.

ASIC launched 250 investigations in 2025-26, leading to 25 criminal convictions and 11 jail terms, and 32 civil proceedings.

It was one of the commission’s strongest years on record.

“ASIC has delivered record penalties and strong criminal outcomes, but enforcement is not just about punishment,” Court said.

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“It is about detecting misconduct sooner, preventing harm where we can, and securing remediation for those affected.”

One of the cases was against Sydney-based Union Standard, which was ordered to pay a record $300 million for systemic unconscionable conduct that a judge found was “deliberate and flagrant”.

The financial services’ company allowed investors to speculate on prices and often exposed them to significant losses, with 68 per cent of all customers losing money that totalled $458 million in one year.

“Over time, customers were pressured to trade more and more money, exposing them to financial losses they could not afford, before being discouraged from lodging or pursuing their complaints,” Court said at the time.

HSBC Bank was ordered to pay $35 million after admitting to failures on scam protection and Westpac was made to pay $26 million for widespread failures in responding to customer hardship requests.

Former Sydney fund manager Rodney Forrest was sentenced to five years and three months imprisonment for a $3 million insider trading scheme in May.