Cybersecurity a ‘No. 1’ risk for company directors: ASIC

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The corporate regulator will question company directors if criminals hack their businesses and they had failed to prioritise cybersecurity.

Company directors have been put on notice that they will come under scrutiny from the corporate regulator if their businesses are hacked by cyber criminals and they failed to prioritise cybersecurity.

Mr Longo said boards of directors generally understood cyber was a risk, but the challenge was determining what was an appropriate level of investment to minimise the risk of an intrusion. “I think at this stage the major priority has to be to encourage boards and to remind them of the obligations in this area,” he said.a financial planning licensee formerly owned by ANZ and now part of Insignia Financial, breached the financial licence law by failing to protect against nine cyberattacks that put confidential client data at risk.

Inadequacies in its cybersecurity risk management led to a number of cyber incidents affecting clients in the six-year period to May 2020.

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