MONEY LAUNDERING – LAW AND LEGISLATION – AUSTRALIA

Rumour mill picks candidates to replace Narev

roymorgansocial Leave a comment

Original article by Jonathan Shapiro
The Australian Financial Review – Page: 8 : 16-Aug-17

Brian Johnson of CLSA says the Commonwealth Bank of Australia may need to select an external candidate to succeed CEO Ian Narev, as the money-laundering scandal has tainted internal contenders. Matt Comyn and Rob Jesudason were widely regarded as leading candidates from within CBA’s ranks prior to the scandal. Former Westpac executive Rob Whitfield, Royal Bank of Scotland CEO Ross McEwan and Medibank CEO Craig Drummond are seen as potential external candidates to replace Narev when he steps down by mid-2018.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, CLSA AUSTRALIA PTY LTD, WESTPAC BANKING CORPORATION – ASX WBC, ROYAL BANK OF SCOTLAND GROUP PLC, MEDIBANK PRIVATE LIMITED – ASX MPL, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, NEW SOUTH WALES. THE TREASURY, REGAL FUNDS MANAGEMENT PTY LTD, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE

Livingstone ousts CEO Narev, cuts pay, puts execs on notice

roymorgansocial Leave a comment

Original article by James Frost
The Australian Financial Review – Page: 1 & 8 : 15-Aug-17

The Commonwealth Bank of Australia’s board has reiterated its intention to take further action on cuts and changes to executive pay and incentives in the wake of the money laundering crisis. Its actions come as it announced that CEO Ian Narev will retire by 30 June 2018, with his successor most likely to be an external appointment. Louise Davidson, the CEO of the Australian Council of Superannuation Investors, says there are clearly some problems with the CBA’s culture, noting its recent problems involving financial planning and life insurance.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIAN COUNCIL OF SUPERANNUATION INVESTORS INCORPORATED, AUSTRALIANSUPER PTY LTD, AUSBIL INVESTMENT MANAGEMENT LIMITED, OWNERSHIP MATTERS PTY LTD, UNISUPER LIMITED, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE

CBA chiefs facing more salary pain

roymorgansocial Leave a comment

Original article by James Frost
The Australian Financial Review – Page: 6 : 14-Aug-17

The Commonwealth Bank of Australia could announce further cuts to executive pay and incentives in the wake of the money laundering crisis. Its actions could extend to executives who are no longer with the bank but were working for it when the suspicious ATM transactions that led to AUSTRAC’s actions occurred. Alden Toevs, the CBA’s chief risk officer from 2008 to 2016, could potentially lose his rights to CBA shares, as could former chief financial officer David Craig.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE

ASIC eyes case against CBA board

roymorgansocial Leave a comment

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

Morrison warns all options open

roymorgansocial Leave a comment

Original article by Andrew Tillett, James Eyers, Sally Patten, James Frost
The Australian Financial Review – Page: 1 & 8 : 9-Aug-17

Proxy advisers and institutional investors have welcomed the Commonwealth Bank of Australia’s decision to reduce executives’ short-term bonuses in the wake of the money-laundering scandal. However, they argue that CBA must take further action, while federal Treasurer Scott Morrison has told CBA chair Catherine Livingstone that the Government will look at a range of sanctions. The CBA scandal has resulted in increased pressure for the Government to hold a royal commission into banks, but Prime Minister Malcolm Turnbull has warned that doing so could jeopardise AUSTRAC’s case against CBA.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, CGI GLASS LEWIS PTY LTD, AUSTRALIAN COUNCIL OF SUPERANNUATION INVESTORS INCORPORATED, UNISUPER LIMITED, OWNERSHIP MATTERS PTY LTD, AUSTRALIAN SHAREHOLDERS’ ASSOCIATION

CBA faces laundering rap

roymorgansocial Leave a comment

Original article by James Frost
The Australian Financial Review – Page: 1 & 12 : 4-Aug-17

AUSTRAC has accused the Commonwealth Bank of Australia of not being in compliance with money-laundering regulations, and has launched legal action against it in the Federal Court. AUSTRAC contends that the CBA has not properly monitored or reported large cash transactions being made through its ATMs. AUSTRAC has stated that there have been 53,700 occasions since 2012 when the $A10,000 threshold above which transactions must be disclosed were exceeded, but they were either not reported to AUSTRAC or were not reported in time for it to take action. A maximum penalty of $A18 million applies to each incident of non-compliance with disclosure rules.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, FEDERAL COURT OF AUSTRALIA, AUSTRALIA. DEPT OF THE TREASURY, BNP PARIBAS SA

Tabcorp’s new charges from money-laundering cop

roymorgansocial Leave a comment

Original article by Perry Williams
The Australian Financial Review – Page: 22 : 21-Apr-16

Tabcorp has allegedly breached the anti-money laundering rules. The Australian Transaction Reports & Analysis Centre (Austrac) alleges that the wagering group failed to notify the regulator of more than 30 TAB accounts being opened by criminals using false names to launder funds generated through fraudulent credit card transactions. The Federal Court was due to hear the case in September 2016, but the hearing has been postponed until 6 June 2017.

CORPORATES
TABCORP HOLDINGS LIMITED – ASX TAH, FEDERAL COURT OF AUSTRALIA, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, TAB LIMITED, ASX LIMITED – ASX ASX

Tabcorp faces trial, fines over money laundering

roymorgansocial Leave a comment

Original article by Perry Williams, Patrick Durkin
The Australian Financial Review – Page: 1 & 7 : 23-Jul-15

The Australian Transaction Reports & Analysis Centre claims that Tabcorp breached money-laundering reporting laws on at least 100 separate occasions. It has launched civil action against the gaming group in the Federal Court, alleging that Tabcorp failed to report suspect transactions that were made via TAB betting accounts. Tabcorp could face fines of up to $A17m, although Deutsche Bank notes that the group could potentially be fined up to $A51m in total as two subsidiaries are also subject to the legal action.

CORPORATES
TABCORP HOLDINGS LIMITED – ASX TAH, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, DEUTSCHE BANK AG, FEDERAL COURT OF AUSTRALIA, NATIONAL RUGBY LEAGUE, NORTH QUEENSLAND COWBOYS, BULLDOGS RUGBY LEAGUE CLUB LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, LEND LEASE GROUP LIMITED – ASX LLC, ASX LIMITED – ASX ASX, SUNCORP GROUP LIMITED – ASX SUN, NBN CO LIMITED, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, NEW SOUTH WALES POLICE FORCE, AUSTRALIAN FEDERAL POLICE, VICTORIA. OFFICE OF POLICE INTEGRITY, DOW JONES SUSTAINABILITY INDEX