Asic is contending that, since Westpac held the financial services licence used by Sinha, the bank is liable for the alleged breaches, which carries a maximum penalty of A$1m (£564,084, €642912, $753,089) per breach.
Having defeated his former protege in an election last month, Prime Minister Mahathir Mohamad’s administration has launched an investigation into how the fund founded by Najib lost billions of dollars.
The ramifications of the Federal Reserve raising rates and unwinding its balance sheet, just as the European Central Bank looks set to end its bond-buying programme, is occupying investors in Asia.
As such, margin trading in the US, for example, is heavily regulated by bodies like the Federal Reserve Board, the New York Stock Exchange, and the Financial Industry Regulatory Authority.
Earlier this year, the government raided the headquarters of UPbit in Seoul for allegedly deceiving investors, and almost immediately after turned to Bithumb over potential malpractice and suspicious business activities.