THE Australian Securities and Investments Commission and the Japanese Financial Services Agency have signed a statement of intent concerning cooperation, consultation and information exchange.
The arrangement encourages the two corporate watchdogs to cooperate in the enforcement and supervision of laws governing securities and securities derivatives transactions in Australia and Japan.
Cross border financial services transactions between Australia and Japan are significant and growing.
ASIC chairman Jeffrey Lucy said: "The framework will improve the arrangement for providing assistance, obtaining information and the permissible use of that information".
"As the need to combat trans-national fraud grows, it is important that regulators share information about illegal securities activities," he said.
Information may be used in civil and administrative investigations and proceedings and to assist a self-regulatory organisation’s surveillance or enforcement activities.
Information can also be used to assist criminal investigations.
Mr Lucy said the statement of intent provided a framework for the exchange of information supported by an exchange of notes between the Australian Embassy and the Japanese Ministry for Foreign Affairs in Japan on August 26.
"It is the only ASIC bilateral arrangement that is reinforced by such a government initiative," Mr Lucy said.