ASIC is tipped to get former Australian Stock Exchange chief Tony D'Aloisio as a new boss if the state Labor governments agree to back plans by Treasurer Peter Costello.
Costello wants to promote D'Aloisio, 57, to ASIC chairman from his current job as the regulator's head commissioner.
Current chairman Jeffery Lucy, 61, would step into D'Aloisio's job as a commissioner for a two-year period based in Adelaide.
Lucy's three-year term expires at the end of the month.
It is proposed that D'Aloisio be appointed as chairman for four years.
Costello has written to the States and Territories proposing the changes.
ASIC deputy chairman Jeremy Cooper, also a lawyer, was previously tipped to be in the running for the top job. He was hired in 2004.
Under the Corporations Agreement, the Federal Government is requested to consult with the States and Territories on the appointments.
D'Aloisio, formerly a corporate lawyer, was hired as a commissioner of ASIC in November for a three-year term.
Lucy, who is a chartered accountant, started at ASIC in 2003 as a commissioner and was appointed chairman in 2004. He succeeded David Knott.
Lucy's tenure has been dogged by criticism levelled at the regulator over the 2005 collapse of the Westpoint property group.
