Former ASIC chair let down by regulator over 'soul destroying' smear campaign
Former ASIC chair, James Shipton, has called out his former employer for failing to support or protect him during a six-month abusive advertising campaign by a billionaire defendant charged with offences instigated by ASIC.
Shipton led the corporate regulator between 2018 and 2021.
Speaking at the Senate Economics References Committee chaired by Senator Andrew Bragg, he said that his last few months in the role were tainted by unacceptable conduct by the defendant of the adverts and the “fundamentally flawed” institutional response from ASIC and the government towards it.
“My appearance is exclusively aimed at preventing history repeating itself and to advocate for reform,” he told the committee.
“From November 2020, I was subject to six months of intimidatory advertising attacking my character, competence and integrity. This consisted of at least 43 prominent advertisements with eye-catching yellow background in leading newspapers. They were published by a defendant charged with offenses instigated by ASIC during my time.
“The advertisements were soul-destroying for me, my family, and my friends. They were relentless. They cut me to my core. And before I go on, I must say that all those allegations could not be further from the truth.”
Shipton recalled breaking down in front of a newspaper stand and, at one point, wanting to end his life.
When he turned to his employer, he said he received “half-hearted” support.
“Because I was a serving law enforcement officer and because I did not want to act in any way that would jeopardise the investigation, I looked to ASIC for protection and support that only came half-heartedly months later,” Shipton said.
Reflecting on the incident, he told the committee that he had been surprised by the inaction of the then-Liberal government and of ASIC.
“When the advertisements started, the then-government and ASIC, led by an acting chair, offered no protection or support, nor did they for the three months of relentless advertising that followed. Not one email, not one concern phone call, no protective measures, nothing.
“At the time, ASIC and the Treasury made no attempt to be a protective employer. Nor did they meet the minimum WHS standards required by law.”
Shipton shared the only communication he received was from a cabinet minister “who called to say not to worry about the advertisements and not to make a fuss.”
“I cannot fathom why that minister could treat the well-being of one of his senior officials, let alone a fellow human being, with such blatant disregard,” he said.
He told the committee that ASIC only began to look into the abuse in early 2021 and questioned the publications about the advertisements after he had stepped down. One publication did not bother to reply to the questioning.
“To this day, I am astounded that ASIC did not press that corporation for a response. This certainly does not reflect a confident and ambitious corporate regulator,” Shipton added.
Support is available at Beyond Blue (1300 22 4636) and Lifeline (13 11 14).
AUTHOR
Rhea Nath
Recommended for you
With the highest number of candidates in a year sitting the latest financial advice exam, a surge of new entrants are expected in the coming weeks, according to Wealth Data.
AMP has launched a range of five diversified index managed portfolios on its North investment platform, targeting a younger client demographic.
An NSW adviser, who advised over 120 clients after falsifying her financial advice exam results, has been permanently banned by ASIC.
ASIC has released the results from the latest financial adviser exam, the first to be run since changes to its structure earlier this year.
“I cannot fathom why that minister could treat the well-being of one of his senior officials, let alone a fellow human being, with such blatant disregard,” he said. The Pot & Kettle are both black Mr Shipton.
Unfortunately Shipton and his deputy at the time were stepping up to be the tough financial cops on the beat! The government and the banks hobbled them and the rest is history! Hopefully Bragg keeps digging deeper on this one..!
Really does Shipton expect any empathy from readers of this publication who have been on the receiving end and continue to be on the receiving end of this sort of treatment from the organisation that he chaired? Being the chairperson you would have to assume that he had a fair input into the then and ongoing corporate culture at ASIC.
Really interesting article from Rhea Nath, and a very candid insight from James too as to the relationship between governments and their departments/commissions.
Sad story.
Also sad is the story of scores of advisers who were and still are depressed and suicidal as a result of his successors unreasonable persecution of small business people who were just trying to make people's retirement a little better.
The former Coalition Government was happy for the Palmer advertisements to be run. After all those advertisements did the trick of hiding the Coalition's poor governance, abysmal rooting, dysfunctional economic management, dismissal of any Australian who was not on the rich list. As evidenced by the Robotdebt Royal Commission, the former Coalition Government had turned the Australian public servants into a bunch of cowards and sycophants. Shipton was a good appointment and let down very badly. Bragg was part of that former government and was compliant in the treatment of Shipton - how can he be chairing this committee?
Obviously no one should go through that and feel like that & i am sympathetic - but what did you do think about the advisers that took their own lives and the thoughts many other advisers had on your watch James?
ASIC, including the time they were under the leadership of Mr Shipton, have been responsible for a lot of advisers considering drastic action as well. He wasn't too concerned about the mental health of the advisers whose businesses and lives ASIC sought to destroy when he was in charge.
Greg Medcraft ASIC Chair 2011 to Nov 2017 (6 years of no action)
Royal Commision Dec 2017 to Feb 2019 (timing by Medcraft impecable!)
James Shipton ASIC Chair Feb 2018 to June 2021
History will show (if you do a little research) that Shipton was doing his job but the big end of town and the government of the time put a stop to him and his deputy...ASIC today under current leadership, we might as well get Medcraft back.
Add new comment