Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 20 JULY 2025

ASIC Enforcement Action – Inactivity Following Change Of Control

Sophie Grace Pty Ltd
Explore more from Sophie Grace Pty Ltd

There are important compliance obligations related to the licence that the entity must continue to comply with, at all times.

AustraliaFinance and Banking
Larissa Tan
Larissa Tan
Author LinkedIn connections

ASIC recently suspended an Australian Financial Service Licence (AFSL) as the entity had not been carrying on a financial services business since June 2024, when the entity was sold to new owners and the shareholders and directors were replaced. In addition to changes to the ownership of the licensee, the Responsible Managers and Key Person listed on the AFSL were not involved with the AFSL after the sale.

Change of control

Over the course of a business life cycle, change in ownership and business direction can occur. Where the entity being transferred or sold holds an AFSL or Australian Credit Licence, there are important compliance obligations related to the licence that the entity must continue to comply with, at all times.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

Australia's Enhanced Substantial Holding Disclosure And Beneficial Ownership Disclosure Regime Comes Into Effect From 4 December

Australian financial markets face a fundamental shift in disclosure requirements from December 2026, as new rules expand substantial holding obligations beyond traditional voting interests to capture derivative positions and economic exposure. Market participants must now navigate complex calculations involving physically settleable derivatives, cash-settled instruments, and offsetting short positions—with no grandfathering for existing holdings.
AustraliaFinance and Banking
K&L Gates
K&L Gates
Article

New Payment Models Face A Broader Licensing Regime

Australia's payment services landscape is undergoing a fundamental regulatory transformation with the introduction of new legislation that shifts focus from specific technologies to the functions and activities performed by payment service providers. The Treasury Laws Amendment Bill 2026 will replace the existing non-cash payment facility framework with a comprehensive licensing regime that distinguishes between payment products and payment services, potentially capturing previously unregulated payment
AustraliaFinance and Banking
McCabes
McCabes
Article

Australia's Updated Financial Innovation Strategy

The Australian Government has unveiled its Financial Innovation Strategy, introducing a new Financial Innovation Committee and overhauling the Enhanced Regulatory Sandbox framework to better support emerging businesses testing innovative financial products. The strategy encompasses reforms across consumer data rights, digital assets, tokenised infrastructure, and regulatory frameworks designed to position Australia as a leader in financial innovation.
AustraliaFinance and Banking
K&L Gates
K&L Gates