Corporate watchdog to embed in banks

The corporate watchdog will have staff working inside the major banks and AMP to ensure they adhere to the rules in the wake of the financial services royal commission.

The federal government is expected to announce an extra $70 million on Tuesday for the Australian Securities and Investments Commission initiative.

"It will ensure that ASIC is on the front foot when it comes to considering any deficiencies in the governance and compliance structures of these large financial institutions, so as to prevent harm to consumers before it occurs," Financial Services Minister Kelly O'Dwyer said.

ASIC chairman James Shipton told News Corp "having ASIC officers physically inside a bank each day, asking the tough questions and getting the answers is a constant reminder to banks to do the right thing and that ASIC is on the job and will take swift action if need be."

Australian Associated Press

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