The ASIC-led case to retrieve millions of dollars in lost Westpoint funds has taken another turn, with company founder Norm Carey arguing the corporate regulator's intervention is a waste of time and public money.

Mr Carey has applied to the Federal Court to order ASIC to reconsider applying little-used litigation powers to pursue compensation claims deemed to be in the public interest.

ASIC has taken over several court cases launched by PricewaterhouseCoopers against former Westpoint directors and officers. The regulator hopes to retrieve $245 million.

Mr Carey, who was handed back his passport last month, argues the ASIC intervention is unnecessary as claims are being brought privately at no expense to taxpayers.

Mr Carey plans to launch his own claim against ASIC, which he blames for the $320 million collapse of the property group.