The Australian Securities and Investments Commission (ASIC) has revealed the high cost it has paid in unsuccessfully pursuing legal action against Westpac over responsible lending.
The regulator has revealed to a Parliamentary Committee that it spent over $1.8 million on the failed litigation.
What is more, having lost the case in the Federal and Full Federal Court the regulator will be facing payment of some or all of Westpac’s costs.
Answering questions on notice from the Parliamentary Joint Committee on Corporations and Financial Services, ASIC said that its expenditure on the Westpac responsible lending litigation in the Federal and Full Federal Court was $1,830,569.
“This amount is up to 30 June 2020 and includes the cost of ASIC’s pre-litigation investigation,” the answer said. “At this time, Westpac has not indicated to ASIC what its costs are.”
ASIC’s pursuit of Westpac was a part of its “if not, why not” approach to pursuing litigation.
