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To aid the fight against insider trading, market manipulation and other forms of misconduct, the Australian Securities and Investments Commission (ASIC) is offering immunity to snitches.

The regulator has adopted a policy that will enable individuals who engaged in trading misconduct to apply for immunity from civil penalties and criminal proceedings in exchange for their cooperation.

Immunity from prosecution will only be available to the first person to report misconduct to ASIC before the regulator launches an investigation.

“The policy will assist ASIC in identifying and taking enforcement action against specific markets and financial services breaches of the law and strengthen ASIC’s enforcement toolkit,” the regulator said.

ASIC will not provide immunity from administrative or compensation actions.

“ASIC continues to develop and implement new tools to combat and detect misconduct,” ASIC commissioner Sean Hughes said in a statement. “The immunity policy enhances ASIC’s ability to identify and take enforcement action against complex markets and financial services contraventions.”