NO.068

RETIREMENT OF ASIC CHAIRMAN

The Chairman of the Australian Securities and Investments Commission

(ASIC), Mr David Knott, has informed me that he will step down from the

position at the end of 2003.

Mr Knott has been a highly successful member of ASIC over the past four

years. He was appointed as ASIC Deputy Chair in July 1999 and was appointed

as ASIC Chairman in November 2000.

Under David Knott’s leadership, ASIC has proven to be highly effective.

Action taken by ASIC over the last 3 years has resulted in the jailing

of 70 people, the removal of 40 company directors from office and over

$1 billion of funds protected, recovered or ordered in compensation.

Mr Knott’s commitment to the timely and vigorous enforcement of the Corporations

Act has succeeded in better protecting Australian consumers and promoting

best corporate practice amongst Australian business.

ASIC has also been effective in encouraging the provision of higher quality

financial advice, promoting better corporate disclosure and managing

the transition to the new uniform financial services licensing regime.

ASIC has worked closely with my Parliamentary Secretary, Senator the

Hon. Ian Campbell, on these important issues.

Together with Senator Campbell, on behalf of the Government, I would

like to place on record my thanks to Mr Knott for his distinguished public

service and important contribution to the Australian community. I wish

him well for the future.

The Government will consult with the States and Territories prior to

making an announcement regarding Mr Knott’s successor.

CANBERRA

12 August 2003

Contact: Niki Savva

02 6277 7340