An Australian Senate inquiry has released a critical report on the performance of the Australian Securities and Investments Commission (ASIC).

The report accuses ASIC of failing to effectively address corporate misconduct and prioritizing reputation management over enforcement.

It recommends splitting ASIC into two separate entities to improve its efficiency and effectiveness.

Additional recommendations include enhancing transparency in handling misconduct reports and strengthening whistleblower protection.

Treasurer Jim Chalmers has not yet responded to the report.

The report highlights the urgent need for stronger enforcement of corporate law in Australia.

Whistleblower Jeff Morris has called for a complete overhaul of ASIC.

ASIC has stated it will carefully review the recommendations, citing its strong enforcement track record and ongoing investigations.