ASIC touts greenwashing tally, FMA responds

The Australian Securities and Investment Commission (ASIC) has secured 22 corrections, 11 fines and commenced a civil court action, since June last year when it put out information on how to avoid greenwashing. Among companies fined were Tlou Energy, Vanguard Investments Australia, superannuation trustee Diversa Trustees, and Black Mountain Energy.. 

Greenwashing targeted work also includes a review of 122 fund product disclosure statements, further scrutiny of the  investment processes of 17 funds, a surveillance of ESG-related disclosures by companies raising capital from retail investors, and responses to public complaints.

ASIC deputy chair Karen Chester says, “All 35 of our interventions are aimed squarely at promoting fair and transparent markets so that retail investors and financial consumers are well informed and not misled on the ‘green credentials’ of investments and listed companies. We have ongoing surveillances and several investigations underway and anticipate further regulatory action.”

In February the ASIC began benchmark civil court proceedings against Mercer Superannuation Australia alleging misleading marketing of some of its superannuation investment options. ASIC commissioner Danielle Press said the compulsory nature of superannuation meant ASIC was taking a tough stance and was also investigating other retirement funds after public complaints.