An enforceable undertaking, or EU, is an undertaking offered to
ASIC, by what we affectionately refer to as "the Pingee",
which sets out in writing certain actions that the Pingee is
prepared to undertake to address ASIC's concerns. Those
concerns will usually have arisen from a surveillance or
investigation conducted by ASIC. Typically that surveillance or
investigation will have involved the issue of notices by ASIC to
gather documentary and, perhaps, oral evidence.
The objective of the Pingee in offering an EU is, of course, to
prevent further action by ASIC. That action may, depending upon the
matters that ASIC is concerned about and the extent of the evidence
it has gathered, be of a criminal, civil penalty or administrative
nature. ASIC's objective in accepting an EU is to obtain a good
regulatory outcome without having to conduct proceedings which
would require it to prove its case and may result in an outcome
that is less flexible or less comprehensive. If the
