Parliament to probe ASIC operations

Australia's corporate regulator will come under the spotlight in a parliamentary hearing starting on Wednesday.

Representatives from the Australian Securities and Investments Commission will face questions on topics including the handling of an investigation into two David Jones directors accused of inappropriate share trading.

They bought David Jones stock days before a better-than-expected sales result caused a spike in the retailer's share price, but action was not taken against the pair.

More than 400 submissions have been received by the Senate economics reference committee as it studies the efficiency and effectiveness of the ASIC.

"At a later stage of the inquiry, the committee will also address issues relating to Commonwealth financial planning and the question of Australia's corporate whistleblower framework," Labor senator Mark Bishop said.

ASIC chairman Greg Medcraft and senior officers will give evidence from 9am (AEDT) on Wednesday.

Commission representatives are expected to be called before the committee at least two more times.