ASIC has published a report on its recent insolvent trading visitation and awareness program.

ASIC concludes that a director is less likely to breach their duties under the Corporations Act 2001 if they take into account the following key principles in carrying out their role:

• maintain appropriate books and records;
• identify insolvency concerns and assess available options;
• seek professional advice; and
• act in a timely manner.

The Report complements Regulatory Guide 217 Duty to prevent insolvent trading: Guide for directors (RG 217).