Much has been written about two recent court defeats suffered by ASIC and APRA, some of it facile. It is time to set the record straight.

Very briefly, the Australian Securities and Investments Commission sued Westpac, alleging reckless mortgage lending. ASIC lost. This was the judgment in which Justice Nye Perram opined that a borrower could remedy unaffordability by, for example, forgoing their Wagyu beef and shiraz.