ASIC did not open a formal investigation until the whistle‑blower’s allegations were publicly disclosed by Senator Deborah O’Neill in parliament, after which the regulator announced it would look into the audit‑leak claims.

The whistle‑blower wrote that KPMG repeatedly refused to acknowledge their whistle‑blower status and that any internal reviews commissioned by the firm were not independent.

ASIC chair Sarah Court told a parliamentary hearing that current whistle‑blower protections are deficient and urged an extension of the Corporations Act so that partnerships such as KPMG are clearly covered.

The government is now reviewing the whistle‑blower regime, considering changes that would extend protections to partnerships and even introduce a bounty‑style reward scheme for high‑value disclosures.

Without strong safeguards, disclosures about misconduct can be ignored, allowing systemic problems to persist and eroding confidence in financial markets – a risk the whistle‑blower warned could undermine market integrity and investor confidence.