When HIH Insurance collapsed in 2001 with debts of $5.3 billion it not only changed the face of Australian corporate governance it ushered in a new regulatory paradigm for superannuation, banking, insurance and the securities markets.

We are now living with the unintended consequences of the profound changes made in response to a collapse that was sheeted home to a dominant CEO, a weak board of directors and a regulator asleep at the wheel.