ASIC criticised for slow response AUSTRALIA'S corporate watchdog has been slammed for failing to take quicker action against a senior financial planner whose misconduct led to multi-million dollar losses for clients. Insiders at the Commonwealth Bank alerted the Australian Securities and Investment Commission (ASIC) in October 2008 to serious concerns regarding the practices of a senior planner, Don Nguyen. Why did it take ASIC 16 months to follow up on numerous emails from the whistleblowers? NSW Nationals Senator John Williams asked commission officials during a parliamentary hearing on Tuesday. Nguyen resigned in mid-2010 and later that year was banned by ASIC from working as a financial adviser for seven years. "People had gone to the regulator with evidence of forged documents but while it dithered Mr Nguyen went on his merry way and people lost a large portion of their savings," Senator Williams said after the hearing. Labor senator Doug Cameron asked the commission why it didn't push for a longer ban for Nguyen. "I want to know the arguments that you went through to deliver a seven-year ban and why you didn't seek a ban for life on this individual who was ruining the lives of of ordinary Australian citizens?" he said. ASIC deputy chairman Peter Kell said he could not comment on the particular case against Nguyen, but added that $23 million has been recovered for 202 investors, while nine others still have outstanding funds. "It has been a landmark achievement that has completely changed the way that financial institution conducts its operations and it's set a new benchmark for raising the standard of financial advice," Mr Kell said in defence of his agency's response. The case led to the banning of seven financial advisers from the sector, he added.