(Reuters) -Australia's corporate regulator said on Wednesday it had started legal action against Macquarie Securities (Australia) (MSAL), accusing the firm of misleadingly reporting millions of short sales for over 14 years.

The Australian Securities and Investments Commission (ASIC) filed proceedings in the New South Wales Supreme Court, alleging that MSAL, owned by Macquarie Group ( MCQEF ), inaccurately reported short sales volumes by at least 73 million from December 11, 2009 to February 14, 2024, which could represent between 298 million and 1.5 billion short sales.

The regulator said the misleading conduct was due to multiple "systems-related issues."

The lawsuit marks ASIC's fourth regulatory action against Macquarie Group ( MCQEF ) in just over a year.

"Our actions reflect the ongoing and deep concerns we have with Macquarie Group ( MCQEF ) and its weak remediation of long-standing issues," said ASIC Chair Joe Longo.

Earlier this month, the regulator imposed additional conditions on Macquarie Bank, citing numerous serious compliance failures.

In addition to penalties, ASIC said it was seeking an independent review and assurance of MSAL's regulatory reporting systems.

Macquarie said in a statement that MSAL had identified the issues and self-reported them to the ASIC. It added that it is now reviewing ASIC's claim.