Labor calls for speedy ASIC investigation

Labor has demanded an investigation into expenses scandals at the corporate watchdog be wrapped up within two weeks.

Australian Securities and Investments Commission chair James Shipton is on paid leave after standing down when it was revealed taxpayers paid more than $118,000 for his personal tax advice.

Shadow assistant treasurer Stephen Jones said the scandal was extraordinary.

“There is no disagreement over the facts here. It seems pretty clear what’s gone on — payments were made, they were unauthorised and unlawful,” he told AAP.

“The only question to my mind is who knew? Did the Prime Minister know? Did the Treasurer know?“

ASIC deputy chair Daniel Crennan quit after claiming almost $70,000 from taxpayers to cover rent.

Vivienne Thom is investigating both issues, but has until the end of the year to report her findings.

Mr Jones believes the review should be completed within two weeks.

“It’s a devastating blow to ASIC,” said.

“At a time when we need the corporate cop to be on the top of its game, it’s actually on the bottom of the ladder.”

ASIC acting chair Karen Chester told a Senate estimates hearing the review would look at whether processes, governance or something else were to blame.

“There’s been failings,” she told the committee.

“You have to go through and do a root cause analysis to understand what caused those failings.”

She said senior staff on the commission were unaware of the payments until the auditor-general flagged issues with Treasurer Josh Frydenberg.