Ann: ASX Update on status of ASX Directions, page-507

Hi @Scott th Ratbag, The criteria against which ASX might be checked are in the Regulatory Guide 172, 177, and 211, Corporations Act Section 172 (and several other related sections), Market Integrity Rules - plus Corporations Amendment (Financial Market Supervision) Act 2010, which transferred market supervision to ASIC and enabled ASIC to make market integrity rules; and• Corporations and Financial Sector Legislation Amendment Act 2013, which amended ASIC’s obligation to conduct annual assessments of market licence holders. In other words, there are a lot of criteria.

The issue, as I see it, however, is the need, especially in financially challenging times like right now, for the financial community to have trust in the equities and financial markets. For ASIC to be ruling against ASX at this time would, in my opinion, be considered a very serious and risky thing to do. I would think, though, that it would also be extremely risky to have this heard in court.

I received a letter yesterday from my most recent complaint which I sent to Phil Gaetjens copy ASIC (and multiple others) said "Please be assured we are closely monitoring developments in these matters to ensure that all relevant parties are complying with their respective legal obligations."

However, they went on to say "ASX is the frontline regulator for compliance by listed entities with their continuous disclosure obligations. Each entity admitted to the ASX official list, including ISX, is contractually bound to ASX to comply with the Listing Rules. ASX has the power to suspend securities of an entity from official quotation in a number of circumstances. These include when the entity is unable or unwilling to comply with a listing rule, breaks a listing rule, or where the suspension is necessary to prevent a disorderly or uninformed market." and this is the crux of the matter. Until ASIC takes a serious look at HOW ASX is complying to their rights as a regulator for compliance and whether ASX is overstepping their obligations (read Regulatory Guide 172) - ie whether they really are creating a "fair, orderly and transparent" market regarding ISX and reporting on competition matters, etc., then ASIC, in my opinion, is NOT doing its job. And there is no evidence that they are doing their job in response to my complaint.

ASIC also makes the observation, "We are aware that ISX has commenced legal proceedings against ASX in the Federal Court, and with that in mind, it would be inappropriate for ASIC to make any statements while the proceedings are ongoing. Additionally, and in line with our public communication policy1, we are unable to provide you with any further information concerning any ASIC inquiries into these matters at this time."

Truly a nothing response, in my opinion and does not give me great confidence. However, I am not sorry that the complaint has been made (twice). It is on record.