This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at https://www.theguardian.com/australia-news/live/2018/apr/23/banking-royal-commission-anz-amp-nab-evidence-live

The article has changed 14 times. There is an RSS feed of changes available.

Version 5 Version 6
Banking royal commission: Tony Abbott calls for regulators to be sacked – live Banking royal commission: Tony Abbott calls for regulators to be sacked – live
(35 minutes later)
The husband and wife client of Mr E have still not received compensation, or even been contacted by AMP.
Britt says that’s because the case has been moved into their “remediation” review. AMP has remediated clients of 14 advisers so far.
“There are a number of advisers in that remediation program [but] unfortunately that hasn’t happened yet,” she says.
Orr suggests that the clients don’t know that they have received bad advice?
Britt responds yes, “and it’s not acceptable”.
Still on Mr E.Still on Mr E.
After the audit, he was issued with a show cause notice, but AMP did not terminate his employment despite a recommendation to do so.After the audit, he was issued with a show cause notice, but AMP did not terminate his employment despite a recommendation to do so.
“There were discussions around whether or not there was additional training and controls such that this adviser could be kept on,” Britt tells the commission.“There were discussions around whether or not there was additional training and controls such that this adviser could be kept on,” Britt tells the commission.
“He was relatively new and relatively junior.”“He was relatively new and relatively junior.”
Orr asks Britt whether she supported keeping him on.Orr asks Britt whether she supported keeping him on.
“There was certainly some discomfort around that decision,” she responds.“There was certainly some discomfort around that decision,” she responds.
A subsequent sampling review of 20 of Mr E’s files found that eight included inappropriate advice.A subsequent sampling review of 20 of Mr E’s files found that eight included inappropriate advice.
AMP was also told that Mr E had also cancelled the husband’s insurance resulting in him being uninsured for three months.AMP was also told that Mr E had also cancelled the husband’s insurance resulting in him being uninsured for three months.
By August 2017, Mr E’s employer also decided to terminate him, writing in an email that he represents a “heightened risk to our business beyond our or his ability to manage”.By August 2017, Mr E’s employer also decided to terminate him, writing in an email that he represents a “heightened risk to our business beyond our or his ability to manage”.
Britt says Mr E was reported to the regulator, but AMP decided it was not a licensee breach.Britt says Mr E was reported to the regulator, but AMP decided it was not a licensee breach.
Rowena Orr, the senior counsel assisting, is asking Sarah Britt to consider the case of three former AMP financial planners.Rowena Orr, the senior counsel assisting, is asking Sarah Britt to consider the case of three former AMP financial planners.
The first is being referred to as “Mr E”. He gave improper advice to a couple in November 2016.The first is being referred to as “Mr E”. He gave improper advice to a couple in November 2016.
The husband and wife told Mr E they wanted to make sure their funds were performing appropriately “to accumulate wealth in the long term”. The husband also wanted adequate insurance.The husband and wife told Mr E they wanted to make sure their funds were performing appropriately “to accumulate wealth in the long term”. The husband also wanted adequate insurance.
Mr E’s advice to the couple was for them both to roll their super accounts to My North Super, an AMP product. That’s despite one of the husband’s previous super providers deducting an exit fee of $16,000 which resulted in him sacrificing close to 25% of the balance of the fund.Mr E’s advice to the couple was for them both to roll their super accounts to My North Super, an AMP product. That’s despite one of the husband’s previous super providers deducting an exit fee of $16,000 which resulted in him sacrificing close to 25% of the balance of the fund.
A later audit also found the wife was going to be charged a higher ongoing fee.A later audit also found the wife was going to be charged a higher ongoing fee.
Britt agreed that the advice was not in the couple’s best interests.Britt agreed that the advice was not in the couple’s best interests.
“Unless there were significant benefits which would outweigh the exit fee, then yes, correct,” Britt said.“Unless there were significant benefits which would outweigh the exit fee, then yes, correct,” Britt said.
“Based on documents I’ve seen ... I couldn’t identify what those benefits were and I think similarly the auditor ... was concerned if there were such benefits it hadn’t been demonstrated what they were.”“Based on documents I’ve seen ... I couldn’t identify what those benefits were and I think similarly the auditor ... was concerned if there were such benefits it hadn’t been demonstrated what they were.”
Britt agreed there was no evidence of benefits that could outweigh the exit fee. Mr E’s advice was that the new fund would “earn more” but there was no comparison.Britt agreed there was no evidence of benefits that could outweigh the exit fee. Mr E’s advice was that the new fund would “earn more” but there was no comparison.
Orr has shown that Mr E was audited on more than one occasion. In March 2017 he was given an “E” rating, meaning he had failed to meet minimum standards, the worst available standard. There were eight high-weighted issues and 11 medium rated issues, including other instances where he inappropriately advised that clients move their super to My North.Orr has shown that Mr E was audited on more than one occasion. In March 2017 he was given an “E” rating, meaning he had failed to meet minimum standards, the worst available standard. There were eight high-weighted issues and 11 medium rated issues, including other instances where he inappropriately advised that clients move their super to My North.
Sarah Britt, the head of advice and compliance at AMP, has now been sworn in.Sarah Britt, the head of advice and compliance at AMP, has now been sworn in.
Remember last week AMP became the first casualty of the commission when chief executive Craig Meller stepped down following revelations the company had repeatedly lied to the regulator.Remember last week AMP became the first casualty of the commission when chief executive Craig Meller stepped down following revelations the company had repeatedly lied to the regulator.
Orr is finishing up with Rixon now, but before she does she tries to get to the heart of the continuing risk of non-compliant financial advice being provided to customers.Orr is finishing up with Rixon now, but before she does she tries to get to the heart of the continuing risk of non-compliant financial advice being provided to customers.
“Doesn’t the continued need for ANZ to accept [that its] high risk customers [are] provided with non-compliant advice in a systemic way leading to breaches of your financial services license indicate that for many years the systems and process at ANZ have been inadequate?”“Doesn’t the continued need for ANZ to accept [that its] high risk customers [are] provided with non-compliant advice in a systemic way leading to breaches of your financial services license indicate that for many years the systems and process at ANZ have been inadequate?”
“No, I don’t accept that our systems and processes have been inadequate in the whole, I do accept there have been certain controls that have had deficiencies in them over the past periods you are looking at,” Rixon responds.“No, I don’t accept that our systems and processes have been inadequate in the whole, I do accept there have been certain controls that have had deficiencies in them over the past periods you are looking at,” Rixon responds.
Rixon is asked what an acceptable risk profile would be. “I would like there to be no customer provided with non-compliant advice and I would certainly like it to be very, very low,” she says.Rixon is asked what an acceptable risk profile would be. “I would like there to be no customer provided with non-compliant advice and I would certainly like it to be very, very low,” she says.
But she concedes that it’s impossible to reduce the risk to zero.But she concedes that it’s impossible to reduce the risk to zero.
The ANZ meeting, mentioned earlier, that assessed the level of risk as a result of non-compliant advice identified by the business risk and compliance committee, wasn’t the only one.The ANZ meeting, mentioned earlier, that assessed the level of risk as a result of non-compliant advice identified by the business risk and compliance committee, wasn’t the only one.
At a later meeting in June 2016, the committee – which is chaired by Rixon – noted that “this risk acceptance has been extended four times”.At a later meeting in June 2016, the committee – which is chaired by Rixon – noted that “this risk acceptance has been extended four times”.
This was apparently due to a technological delay.This was apparently due to a technological delay.
Orr suggests ANZ were repeatedly accepting the possibility of “systemic instances of advice that may lead to reportable breaches”.Orr suggests ANZ were repeatedly accepting the possibility of “systemic instances of advice that may lead to reportable breaches”.
“It’s very regrettable,” Rixon responds.“It’s very regrettable,” Rixon responds.
Where this royal commission ends up is anyone’s guess, but in the short term it’s already proving to be politically uncomfortable for the Coalition.Where this royal commission ends up is anyone’s guess, but in the short term it’s already proving to be politically uncomfortable for the Coalition.
Exhibit one: attempts to pass its blue chip corporate tax cut.Exhibit one: attempts to pass its blue chip corporate tax cut.
The government’s doing its best to keep the two things separate, but a press release put out by the One Nation Senator Pauline Hanson just now demonstrates how difficult that’s going to be.The government’s doing its best to keep the two things separate, but a press release put out by the One Nation Senator Pauline Hanson just now demonstrates how difficult that’s going to be.
One Nation previously backed the cut, and as recently as Saturday were telling Fairfax Media that the two things should be treated separately.One Nation previously backed the cut, and as recently as Saturday were telling Fairfax Media that the two things should be treated separately.
But she seems to be changing her tune somewhat. Hanson says that corporate tax cuts to the sector “should be quarantined so that victims are guaranteed to receive compensation”.But she seems to be changing her tune somewhat. Hanson says that corporate tax cuts to the sector “should be quarantined so that victims are guaranteed to receive compensation”.
“While One Nation have shown its support for reducing company tax to 25%, banks should not receive the benefit of these cuts until customers who have suffered are compensated for the wrongdoing they’ve experienced.”“While One Nation have shown its support for reducing company tax to 25%, banks should not receive the benefit of these cuts until customers who have suffered are compensated for the wrongdoing they’ve experienced.”
“I’m not talking about a carve out. I’m suggesting the government quarantine the 5% saving so that customers who have been wronged can be repaid and compensated in full.” Under the government’s enterprise tax plan, banks would not expect to receive corporate tax cuts until 2026-27, with Senator Hanson suggesting the sector would need to settle with victims early to avoid losing any potential tax cuts.“I’m not talking about a carve out. I’m suggesting the government quarantine the 5% saving so that customers who have been wronged can be repaid and compensated in full.” Under the government’s enterprise tax plan, banks would not expect to receive corporate tax cuts until 2026-27, with Senator Hanson suggesting the sector would need to settle with victims early to avoid losing any potential tax cuts.
Orr is now questioning Rixon about a report of an ANZ business risk and compliance committee meeting.Orr is now questioning Rixon about a report of an ANZ business risk and compliance committee meeting.
A “risk treatment plan” presented to that meeting found the risk of losses associated with inappropriate advice to be “moderate”.A “risk treatment plan” presented to that meeting found the risk of losses associated with inappropriate advice to be “moderate”.
Losses of $10 million might be expected, the plan found, along with $10 million in remediation.Losses of $10 million might be expected, the plan found, along with $10 million in remediation.
We’re drilling down now into the performance of ANZ’s financial advice arm.We’re drilling down now into the performance of ANZ’s financial advice arm.
Orr has taken Rixon some internal financial adviser audits from prior to 2015, both from their internal advisers and the affiliated advisers like Millennium 3.Orr has taken Rixon some internal financial adviser audits from prior to 2015, both from their internal advisers and the affiliated advisers like Millennium 3.
We’re told that the audits show that 5% – or 1 in 20 – of advice given to clients failed to meet the requirement that the advice be in the best interest of the client. And 10% of ANZ’s financial planning advice did not discuss the advantages or disadvantages of the product to the client. For M3, it was more than 15%.We’re told that the audits show that 5% – or 1 in 20 – of advice given to clients failed to meet the requirement that the advice be in the best interest of the client. And 10% of ANZ’s financial planning advice did not discuss the advantages or disadvantages of the product to the client. For M3, it was more than 15%.
But that’s not all.But that’s not all.
The audit found that in 7% of cases ANZ financial planners failed to do proper research, and that during the time of the audits, 11% of the M3 advisors were rated as “high risk advisers”.The audit found that in 7% of cases ANZ financial planners failed to do proper research, and that during the time of the audits, 11% of the M3 advisors were rated as “high risk advisers”.
“The audits are meant to be representative of what’s occurring across the business?” Orr asks.“The audits are meant to be representative of what’s occurring across the business?” Orr asks.
“Yes, that’s true,” Rixon responds.“Yes, that’s true,” Rixon responds.
Rixon concedes the results are “very regrettable”.Rixon concedes the results are “very regrettable”.
Orr presses: “At least in this period, prior to 2015, ANZ systems and processes weren’t adequate to ensure customers were given appropriate advice?”Orr presses: “At least in this period, prior to 2015, ANZ systems and processes weren’t adequate to ensure customers were given appropriate advice?”
“Yes, in the sense that many had deficiencies,” Rixon responds.“Yes, in the sense that many had deficiencies,” Rixon responds.
It has emerged that the number of “inappropriate” advice instances recorded by ANZ has increased rather dramatically in recent years.It has emerged that the number of “inappropriate” advice instances recorded by ANZ has increased rather dramatically in recent years.
In 2008 it was 60.In 2008 it was 60.
By 2013 it had risen to 191.By 2013 it had risen to 191.
Then, in 2014, it jumped to 1,401 instances before doubling a year later in 2015 when 2,810 instances were recorded.Then, in 2014, it jumped to 1,401 instances before doubling a year later in 2015 when 2,810 instances were recorded.
Orr has been asking how exactly that could be?Orr has been asking how exactly that could be?
Rixon responds that the bank’s recording process has changed, but that they’re also “detecting many more instances now because our control environment has improved”.Rixon responds that the bank’s recording process has changed, but that they’re also “detecting many more instances now because our control environment has improved”.
While Rixon continues giving her evidence, the ANZ has told the Australian Stock Exchange that the royal commission is going to cost it $50m in 2018.While Rixon continues giving her evidence, the ANZ has told the Australian Stock Exchange that the royal commission is going to cost it $50m in 2018.
With its chief risk officer Kylie Rixon on the stand, ANZ tells the ASX that the Royal Commission is expected to cost it $50m for the year to 30 Sept 2018, $16m in first half of 2018 #BankingRC @abcnews #auspol #ausbizWith its chief risk officer Kylie Rixon on the stand, ANZ tells the ASX that the Royal Commission is expected to cost it $50m for the year to 30 Sept 2018, $16m in first half of 2018 #BankingRC @abcnews #auspol #ausbiz
“Legal and other costs relating to the royal commission ... are currently expected to be in the range of $50 million for the year ending 30 September 2018 and were $16 million” in the first half of the year.“Legal and other costs relating to the royal commission ... are currently expected to be in the range of $50 million for the year ending 30 September 2018 and were $16 million” in the first half of the year.
“ANZ is committed to engaging with the inquiry in an open, constructive and transparent manner. ANZ is unable to predict the outcome of the inquiry or its impact on the bank or broader industry,” the statement read.“ANZ is committed to engaging with the inquiry in an open, constructive and transparent manner. ANZ is unable to predict the outcome of the inquiry or its impact on the bank or broader industry,” the statement read.
Back to those incentives for financial planners. Rixon has admitted under questioning from Orr that while revenue generation may have been removed as a factor in bonuses for ANZ’s salaried financial planners, it may not be the case for its allied planning firms.Back to those incentives for financial planners. Rixon has admitted under questioning from Orr that while revenue generation may have been removed as a factor in bonuses for ANZ’s salaried financial planners, it may not be the case for its allied planning firms.
Orr asks Rixon whether those four allied dealer groups bonuses “are calculated by their generation of revenue”.Orr asks Rixon whether those four allied dealer groups bonuses “are calculated by their generation of revenue”.
“Yes, they may well be,” Rixon responds.“Yes, they may well be,” Rixon responds.
She’s admitted there are “difficulties” managing those allied planners, and under questioning from Orr concedes that “on reflection, ANZ could have started the program to encourage” associated dealers to move away from revenue incentives “earlier than it did”.She’s admitted there are “difficulties” managing those allied planners, and under questioning from Orr concedes that “on reflection, ANZ could have started the program to encourage” associated dealers to move away from revenue incentives “earlier than it did”.
Note the word encourage, not force.Note the word encourage, not force.
Rixon has also revealed that in the last 12 months the bank has “performance managed” 71 of its in house advisers who “have not met ANZ standards”. “Over half” have left the bank, either through resignation or termination.Rixon has also revealed that in the last 12 months the bank has “performance managed” 71 of its in house advisers who “have not met ANZ standards”. “Over half” have left the bank, either through resignation or termination.
Orr is asking what sort of conduct led to those advisers being performance managed.Orr is asking what sort of conduct led to those advisers being performance managed.
“Some of those people are planners who may have been ... a new adviser with new accreditation [who] on vetting doesn’t show an ability to meet the standards required,” Rixon explains.“Some of those people are planners who may have been ... a new adviser with new accreditation [who] on vetting doesn’t show an ability to meet the standards required,” Rixon explains.
“ ... It could be behaviours, it could be the way they’re applying certain processes that [shows] there is an issue.”“ ... It could be behaviours, it could be the way they’re applying certain processes that [shows] there is an issue.”
A little earlier, explaining a decrease in the number of advisers employed in house by ANZ in the last decade – 514 in 2008 down to 277 this year – that it is “becoming harder and harder to recruit the right people who we think have the right standards and qualifications”.A little earlier, explaining a decrease in the number of advisers employed in house by ANZ in the last decade – 514 in 2008 down to 277 this year – that it is “becoming harder and harder to recruit the right people who we think have the right standards and qualifications”.
Before Tony Abbott’s spray at the regulators of banks, the chair of the Australian Competition and Consumer Commission Rod Sims was blaming lack of significant penalties and legal delays for bank misbehaviour.Before Tony Abbott’s spray at the regulators of banks, the chair of the Australian Competition and Consumer Commission Rod Sims was blaming lack of significant penalties and legal delays for bank misbehaviour.
On Radio National, Sims welcomed the government’s announcement it will increase penalties in the financial sector, arguing that company boards needed to know there would be “really dire consequences” if they breach the law, rather than treating it as a cost of doing business.On Radio National, Sims welcomed the government’s announcement it will increase penalties in the financial sector, arguing that company boards needed to know there would be “really dire consequences” if they breach the law, rather than treating it as a cost of doing business.
“What I have found very sad about watching the royal commission is you’re getting bankers both past and present who say ‘we’d like to do the right thing but if we did the right thing it’d damage our share price and our profits’. Ok let’s change the equation. If you’ve got to factor penalties of hundreds of millions of dollars in, it actually does matter to your bottom line if you breach the act,” he said.“What I have found very sad about watching the royal commission is you’re getting bankers both past and present who say ‘we’d like to do the right thing but if we did the right thing it’d damage our share price and our profits’. Ok let’s change the equation. If you’ve got to factor penalties of hundreds of millions of dollars in, it actually does matter to your bottom line if you breach the act,” he said.
Sims said penalties were increased for competition law breaches in 2007 but the ACCC had “had difficulty convincing the legal fraternity that parliament has actually changed the rules”. He suggested courts were following old precedents and continuing to give penalties in the tens of millions.Sims said penalties were increased for competition law breaches in 2007 but the ACCC had “had difficulty convincing the legal fraternity that parliament has actually changed the rules”. He suggested courts were following old precedents and continuing to give penalties in the tens of millions.
Sims noted that the ACCC is responsible for competition and a “fair bit” of the unconscionable conduct uncovered by the royal commission comes under the domain of the Australian Securities and Investment Commission.Sims noted that the ACCC is responsible for competition and a “fair bit” of the unconscionable conduct uncovered by the royal commission comes under the domain of the Australian Securities and Investment Commission.
He said he “wont’ comment” on Asic’s performance but agrees with Nationals senator John Williams that “you have to be feared”.He said he “wont’ comment” on Asic’s performance but agrees with Nationals senator John Williams that “you have to be feared”.
Orr is drilling into the way incentives at ANZ financial planning affected the working culture.Orr is drilling into the way incentives at ANZ financial planning affected the working culture.
She’s asking about advisor “leaderboards”. We’re told the leaderboards no longer exist, but that previously they ranked financial advisors based on – Rixon says – “certain criteria”.She’s asking about advisor “leaderboards”. We’re told the leaderboards no longer exist, but that previously they ranked financial advisors based on – Rixon says – “certain criteria”.
Orr suggests it would be correct to assume revenue would have been part of the makeup of those leaderboards. Rixon admits that’s correct.Orr suggests it would be correct to assume revenue would have been part of the makeup of those leaderboards. Rixon admits that’s correct.
“What does that say about the culture within the ANZ financial planning [division]?” Orr asks.“What does that say about the culture within the ANZ financial planning [division]?” Orr asks.
Rixon responds that revenue is “just one of the factors” that made up the leaderboard rankings. 15% of the rankings, as it were.Rixon responds that revenue is “just one of the factors” that made up the leaderboard rankings. 15% of the rankings, as it were.
From the wires: a law firm is investigating a possible class action against financial services giant AMP, which has admitted to lying to customers, AAP reports.Quinn Emanuel Urquhart & Sullivan is looking to hear from shareholders who’ve seen the company’s stock plummet.AMP shares lost more than $1bn in market value last week after the damning evidence presented to the financial services royal commission.From the wires: a law firm is investigating a possible class action against financial services giant AMP, which has admitted to lying to customers, AAP reports.Quinn Emanuel Urquhart & Sullivan is looking to hear from shareholders who’ve seen the company’s stock plummet.AMP shares lost more than $1bn in market value last week after the damning evidence presented to the financial services royal commission.
Kylie Rixon, the chief risk officer for “digital and wealth” at ANZ, is up first this morning – basically she’s in charge of managing risk for the bank’s financial services arm.Kylie Rixon, the chief risk officer for “digital and wealth” at ANZ, is up first this morning – basically she’s in charge of managing risk for the bank’s financial services arm.
We’re hearing about the relationship between the bank’s financial services arm and the four associated entities through which it also offers financial services. Rowena Orr, the senior counsel assisting the commission, is asking about the financial adviser incentives that were in place prior to the 2013 FOFA reforms.We’re hearing about the relationship between the bank’s financial services arm and the four associated entities through which it also offers financial services. Rowena Orr, the senior counsel assisting the commission, is asking about the financial adviser incentives that were in place prior to the 2013 FOFA reforms.
In her witness statement, Rixon said the previous arrangements, which included incentives for bringing in new revenue, created a “culture of emphasising business more than the best interest of the client”.In her witness statement, Rixon said the previous arrangements, which included incentives for bringing in new revenue, created a “culture of emphasising business more than the best interest of the client”.
Orr is asking about the current incentive scorecard for managers, which Rixon admits still contain a 15% “scorecard” incentive for managers who bring in new revenue.Orr is asking about the current incentive scorecard for managers, which Rixon admits still contain a 15% “scorecard” incentive for managers who bring in new revenue.
The former prime minister Tony Abbott has found a new point of difference in the bank royal commission fallout, with a fiery call to sack all existing regulators this morning.The former prime minister Tony Abbott has found a new point of difference in the bank royal commission fallout, with a fiery call to sack all existing regulators this morning.
Abbott told 2GB Radio:Abbott told 2GB Radio:
“The thing that worries me, Ray, is what were the regulators doing? I mean we all know there are greedy people everywhere, including in banks ... but banking is probably the most regulated sector of our economy - what were the regulators doing to allow all of this to be happening? ...“The thing that worries me, Ray, is what were the regulators doing? I mean we all know there are greedy people everywhere, including in banks ... but banking is probably the most regulated sector of our economy - what were the regulators doing to allow all of this to be happening? ...
“My fear is that at the end of this royal commission we will have yet another level of regulation imposed on the banks when, frankly, what should happen is, I suspect, all the existing regulators should be sacked and people who are much more vigilant and much less complacent [should] go in their place.“My fear is that at the end of this royal commission we will have yet another level of regulation imposed on the banks when, frankly, what should happen is, I suspect, all the existing regulators should be sacked and people who are much more vigilant and much less complacent [should] go in their place.
“The analogy is – yes punish the criminals but if the police are turning a blind eye to the criminals, well, you’ve got to get rid of the police and get decent people in there.”“The analogy is – yes punish the criminals but if the police are turning a blind eye to the criminals, well, you’ve got to get rid of the police and get decent people in there.”
The behaviour by the financial services industry uncovered so far has been shocking. Last week AMP admitted to lying to regulators, and the Commonwealth Bank admitted some of its financial planners have been charging fees to clients who have died.The behaviour by the financial services industry uncovered so far has been shocking. Last week AMP admitted to lying to regulators, and the Commonwealth Bank admitted some of its financial planners have been charging fees to clients who have died.
While we’re waiting for kick-off from the hearing today, our economics correspondent Gareth Hutchens has written this handy primer on everything you need to know about what the commission is looking at and what we’ve learned so far. You can also read a bit more about the human faces at the heart of the stories of malpractice.While we’re waiting for kick-off from the hearing today, our economics correspondent Gareth Hutchens has written this handy primer on everything you need to know about what the commission is looking at and what we’ve learned so far. You can also read a bit more about the human faces at the heart of the stories of malpractice.
Good morning.Good morning.
Welcome to our live coverage of today’s hearing from the royal commission into the banking, superannuation and financial services industry. Today the commission turns its attention to ANZ and returns to AMP after last week’s explosive advice that resulted in the resignation of its CEO. Later it will hear about NAB’s financial advisers.Welcome to our live coverage of today’s hearing from the royal commission into the banking, superannuation and financial services industry. Today the commission turns its attention to ANZ and returns to AMP after last week’s explosive advice that resulted in the resignation of its CEO. Later it will hear about NAB’s financial advisers.
This morning Malcolm Turnbull admitted the Coalition made a “political mistake” by refusing to set up a royal commission into banks for so long but defended the decision, arguing it helped put “customers first”. Paul Karp has that story here.This morning Malcolm Turnbull admitted the Coalition made a “political mistake” by refusing to set up a royal commission into banks for so long but defended the decision, arguing it helped put “customers first”. Paul Karp has that story here.
Overnight Labor called on Turnbull to set up a compensation scheme for victims.Overnight Labor called on Turnbull to set up a compensation scheme for victims.
Yesterday the financial services minister, Kelly O’Dwyer, had a tense exchange with Insiders host Barry Cassidy over whether the Coalition had excessively delayed the inquiry. She maintained it had taken a deliberate approach, despite agreeing that the royal commission would be good for consumers. This morning the Nationals senator John Williams – who for a long time was the only person in the Coalition party room calling for a royal commission – told ABC radio that he was “quite amazed” at the unwillingness to apologise.Yesterday the financial services minister, Kelly O’Dwyer, had a tense exchange with Insiders host Barry Cassidy over whether the Coalition had excessively delayed the inquiry. She maintained it had taken a deliberate approach, despite agreeing that the royal commission would be good for consumers. This morning the Nationals senator John Williams – who for a long time was the only person in the Coalition party room calling for a royal commission – told ABC radio that he was “quite amazed” at the unwillingness to apologise.