ASX Settles With ASIC, Agrees to Pay A$20.5 Million Penalty Over Misleading CHESS Statements

ASX agreed to settle legal proceedings brought by Australia's securities regulator ASIC, paying A$20.5 million in penalties and A$3 million toward ASIC's legal costs, pending Federal Court approval. The settlement relates to misleading statements ASX made in February 2022 regarding the troubled CHESS replacement project. ASX admitted its February 10, 2022 market announcement stating the project was "progressing well" was misleading, as the company had internally classified it as "red" with major unresolved issues. ASIC said ASX had fallen off its critical path toward an April 2023 launch, yet publicly maintained progress. Six weeks later, ASX disclosed the launch would likely be delayed, ultimately pausing the project in November 2022. ASX's Release 1 of the replacement system went live in April 2026 and continues processing elevated trading volumes amid global market volatility, according to Interim CEO Darren Yip.
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