70425
Australia Bank Reveals Further Woes
Australia Bank Reveals Further Woes

Australia Bank Reveals Further Woes

Australia Bank Reveals Further Woes

Australia’s biggest bank has admitted failures costing staff and customers millions of dollars as the troubled lender faces legal action over alleged breaches of money laundering and terror financing laws.
The Commonwealth Bank of Australia was thrown into turmoil by a civil case launched earlier this month by financial intelligence agency AUSTRAC for alleged “serious and systemic non-compliance” with the laws, AFP reported.
The case has overshadowed record annual profits and forced the bank to announce the retirement of its chief executive.
The embattled lender, Australia’s largest firm by market capitalization, has now said it was working to remedy other errors worth millions of dollars linked to customers’ insurance, transactions and staff pension payments.
“We are providing an additional update on other issues we are putting right for our customers and employees,” CBA said in a statement late Monday, adding that the statement was “not an exhaustive list of all regulatory matters.”
The shortfall in staff pension payments is initially expected to amount to Aus$16.7 million ($13 million) plus interest, with the full costs yet to be finalized.
Refunds to customers over disputed card transactions added up to some Aus$5 million, while the bank said it had notified corporate regulator ASIC over a probe into whether it did not cancel insurance to some deceased estates.
Following scrutiny over the AUSTRAC action, the bank said that chief executive Ian Narev would retire by the end of the 2018 financial year.
The company added last week the pay and bonuses of top executives were to be slashed. CBA could face fines running into billions of dollars from the AUSTRAC case. The bank is also facing an investigation from ASIC over its handling of the alleged breaches.
The latest revelations are not linked to the regulatory investigations the lender faces.

 

Short URL : https://goo.gl/nGY6KH
  1. https://goo.gl/vFz3C1
  • https://goo.gl/UMFeFE
  • https://goo.gl/BJzHjt
  • https://goo.gl/TvTo1v
  • https://goo.gl/WHfRuD

You can also read ...

Bosnia Must Meet IMF Loan Terms
The International Monetary Fund warned Bosnia on Tuesday that...
China’s Tencent Overtakes Facebook in Market Value
China’s social media and video game giant Tencent overtook...
Malaysia Growth Robust
Malaysia’s economy should continue to grow at a decent pace...
Confidence in Afghanistan’s Future Rising Slowly
Afghanistan’s economy is expected to grow 2.6% this year, up...
Riyadh Going After  Non-Arrested Princes
Political analyst Jamal Khashoggi has said that Saudi Arabia...
Wage growth in Australia has fallen  dramatically in recent years.
The Reserve Bank of Australia says relentless cost cutting by...
No Sign Philippines Economy Overheating
The chief of the Bangko Sentral ng Pilipinas said the...
Supporters of the bill describe the change  as a boon for small business owners.
Lawmakers who sped a bill through the US House last week may...

Add new comment

Read our comment policy before posting your viewpoints

Image CAPTCHA
Enter the characters shown in the image.

Trending

Googleplus