DISCLOSURE OF INFORMATION – AUSTRALIA

CBA faces investor class action

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Original article by James Frost
The Australian Financial Review – Page: 4 : 10-Oct-17

Andrew Watson of law firm Maurice Blackburn says its class action against the Commonwealth Bank could be the largest ever in Australia. The firm will seek compensation for retail and institutional investors who bought the bank’s shares between 1 July 2015 and 3 August 2017. The class action centres on the bank’s failure to make adequate disclosures regarding the money-laundering scandal. Austrac’s revelation that it was investigating the bank prompted a sharp fall in its share price.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, MAURICE BLACKBURN PTY LTD, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, IMF BENTHAM LIMITED – ASX IMF

‘Liar loans’ pumped up house prices

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Original article by Jonathan Shapiro
The Australian Financial Review – Page: 1 & 8 : 12-Sep-17

UBS surveyed more than 900 Australian borrowers who had taken out a mortgage loan in the year to August 2017, finding that a third had not been truthful in terms of the information on their application. UBS states that the value of so-called "liar loans" is in excess of $A500 billion, and that these loans pose threats to both the banking sector and the overall economy. The ANZ Bank had the highest number of liar loans in the UBS survey, while respondents were most likely to have understated their expenses on their application.

CORPORATES
UBS HOLDINGS PTY LTD, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, RESERVE BANK OF AUSTRALIA, MOODY’S INVESTORS SERVICE INCORPORATED, MORTGAGE AND FINANCE ASSOCIATION OF AUSTRALIA

Heat on unions’ super cash

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Original article by Simon Benson
The Australian – Page: 1 & 2 : 11-Sep-17

The Federal Government will introduce legislation to increase the Australian Prudential Regulation Authority’s powers to force superannuation funds to disclose their payments to unions. The reforms will also allow fund members to be informed as to how their super contributions are being invested or redirected to unions or employers’ groups. It is estimated that super funds paid more than $A8m to unions in the form of "sponsorship" payments in 2016, with Cbus accounting for more than $A1m of these payments.

CORPORATES
AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, CONSTRUCTION AND BUILDING UNIONS’ SUPERANNUATION FUND, ACTU, CONSTRUCTION, FORESTRY, MINING AND ENERGY UNION OF AUSTRALIA, AUSTRALIAN WORKERS’ UNION-FEDERATION OF INDUSTRIAL, MANUFACTURING AND ENGINEERING EMPLOYEES, AUSTRALIAN MANUFACTURING WORKERS’ UNION, ELECTRICAL TRADES UNION, PLUMBING TRADES EMPLOYEES UNION, TWUSUPER, TRANSPORT WORKERS’ UNION, AUSTRALIANSUPER PTY LTD, UNITED VOICE, AUSTRALIAN ELECTORAL COMMISSION, AUSTRALIA. DEPT OF FINANCE

Tax war moves to smaller companies

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Original article by Nick Tabakoff
The Australian – Page: 4 : 24-Aug-17

The Australian Government will require up to 6,000 listed and private companies to disclose any "contestable" tax treatments in their financial accounts from fiscal 2019. The new disclosure rules, which were released by the Australian Securities and Investments Commission, have prompted criticism from tax experts. Paul Drum of CPA Australia says it is the Government’s latest crackdown in a "tax war" on the business sector, adding that the new rules will apply to both small and large companies

CORPORATES
AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, CPA AUSTRALIA, AUSTRALIAN TAXATION OFFICE, AUSTRALIAN ACCOUNTING STANDARDS BOARD, BDO CHARTERED ACCOUNTANTS AND ADVISERS

CBA faces $200m-plus class action

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Original article by Ben Butler, Michael Roddan
The Australian – Page: 17 & 21 : 24-Aug-17

Investors who bought shares in the Commonwealth Bank of Australia between 17 August 2015 and 3 August 2017 will be eligible to participate in a proposed class action over the bank’s money-laundering scandal. CBA’s share price has fallen by six per cent since Austrac filed legal action on 3 August, slashing the bank’s market capitalisation by around $A8bn. Maurice Blackburn’s class action is expected to focus on CBA’s disclosures regarding Austrac’s investigation into the money-laundering allegations.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, MAURICE BLACKBURN PTY LTD, IMF BENTHAM LIMITED – ASX IMF, FEDERAL COURT OF AUSTRALIA, COMMINSURE, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, VELOCITY TRADE LIMITED, FITCH RATINGS LIMITED

Tax blitz hits top 1000 firms

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Original article by Nick Tabakoff
The Australian – Page: 1 & 2 : 22-Aug-17

The Australian Taxation Office wants all companies with turnover of more than $A250 million to disclose their "reportable tax positions", starting from the 2017-18 financial year. The move has been questioned by BDO senior tax partner Tony Sloan, who says it represents a significant reversal of the ATO’s self-assessment regime. He says the ATO appears to be of the view that its reportable tax position policy worked well with Australia’s biggest companies, and so it has decided to lower the reporting threshold.

CORPORATES
AUSTRALIAN TAXATION OFFICE, BDO AUSTRALIA LIMITED

ASIC eyes case against CBA board

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Original article by Anne Hyland
The Australian Financial Review – Page: 1 & 12 : 11-Aug-17

The Australian Securities & Investments Commission may be contemplating action against Commonwealth Bank of Australia directors in regard to its money-laundering problems. Lawyers suggest that there could be certain areas that ASIC could focus on when considering such action, including the level of the CBA’s disclosure concerning AUSTRAC’s allegations against it. CBA chair Catherine Livingstone has been told that the Federal Government is still considering its options in regard to what actions to take against the bank.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, COMMINSURE, STORM FINANCIAL LIMITED, UNIVERSITY OF MELBOURNE

Energy chiefs forced to reveal cheaper plans

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Original article by Mark Ludlow, Angela Macdonald-Smith
The Australian Financial Review – Page: 5 : 10-Aug-17

Prime Minister Malcolm Turnbull has secured an in-principle agreement with the CEOs of seven major power retailers to address the rising cost of electricity. Electric utilities will be required to disclose to customers on discount plans how much they will pay if they do not switch to an alternative plan when the discount period ends. The Australian Energy Market Commission estimates that the electricity contracts of about 50 per cent of customers have expired. Snowy Hydro CEO Paul Broad notes that some consumers miss out on lower rates because they simply never switch electricity suppliers.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN ENERGY MARKET COMMISSION, SNOWY HYDRO LIMITED, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, ORIGIN ENERGY LIMITED – ASX ORG, AGL ENERGY LIMITED – ASX AGL, POWERSHOP AUSTRALIA PTY LTD, RED ENERGY PTY LTD, LUMO ENERGY AUSTRALIA PTY LTD, AUSTRALIAN ENERGY COUNCIL

PM demands power chiefs act on prices

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Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 6 : 4-Aug-17

Prime Minister Malcolm Turnbull has requested that the heads of Australia’s main electricity retailers attend a meeting with him in the week beginning 7 August. Turnbull will tell them that the Federal Government wants retailers to provide customers with greater detail about how their power costs are incurred, so as to help them to reduce their expenses by either changing plans or retailer. A recent report from St Vincent de Paul concluded that the average Victorian power customer could save $A830 a year on electricity costs by changing from the most expensive plan to the least expensive one.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN ENERGY COUNCIL, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, AUSTRALIAN ENERGY MARKET COMMISSION, AUSTRALIAN ENERGY REGULATOR, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, AUSTRALIAN LABOR PARTY, AGL ENERGY LIMITED – ASX AGL, ENERGYAUSTRALIA PTY LTD, ORIGIN ENERGY LIMITED – ASX ORG, SNOWY HYDRO LIMITED, MOMENTUM ENERGY PTY LTD, ALINTA ENERGY (AUSTRALIA) PTY LTD, SIMPLY ENERGY, ST VINCENT DE PAUL SOCIETY

BHP slip-up to provide more ammo for Elliott

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Original article by Peter Ker
The Australian Financial Review – Page: 17 : 21-Jul-17

BHP Billiton has restated its 2016 financial accounts after conceding that there were problems with the processes it had used to determine the impairment charges on US shale assets. Ross Illingworth, the executive director of Kingfisher Capital Partners, says the admission will strengthen Elliott Management’s case for a restructuring at BHP. Meanwhile, Elliott has likened BHP’s proposal to develop the Jansen potash project in Canada to its ill-fated foray into US shale.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, KINGFISHER CAPITAL PARNERS, ELLIOTT MANAGEMENT CORPORATION