CBA compensation amount totals $23m
The Commonwealth Bank's (CBA) has completed the assessment of all remaining cases in its Open Advice Review Program (OARP), with the bank offering a final compensation amount of $23 million to date.
Global regulatory consultancy firm, Promontory Financial Group, announced the completion of the assessment process, adding that more than 8,600 cases had been assessed.
The cases stemmed from clients of Commonwealth Financial Planning and Financial Wisdom who may have received poor advice between September 2003 and July 2012.
The final compensation amount included interest.
CBA executive general manager, Advice Review program, Leif Gamertsfelder, said: "The update from Promontory today is another step towards our goal of putting things right for customers who received poor advice in the past and providing reassurance to the large majority of customers who received appropriate advice at the time".
"Our priority now is to work with customers who are considering their assessment outcome, or their independent customer advocate, and respond to any queries or address any concerns they have as soon as possible."
Customers receive access to an independent customer advocate as well as an independent review panel, according to CBA.
Promontory said it was finalising its review of cases recently assessed by CBA and would release its final report on 31 March. The final report would also provide overall conclusions of the entire independent review, which spanned over a couple of years.
CBA contacted over 350,000 households to invite them to register for the OARP, which was established in July 2014, with the deadline closing on 3 July, 2015.
AUTHOR
Malavika Santhebennur
Recommended for you
Net cash flow on AMP’s platforms saw a substantial jump in the last quarter to $740 million, while its new digital advice offering boosted flows to superannuation and investment.
Insignia Financial has provided an update on the status of its private equity bidders as an initial six-week due diligence period comes to an end.
A judge has detailed how individuals lent as much as $1.1 million each to former financial adviser Anthony Del Vecchio, only learning when they contacted his employer that nothing had ever been invested.
Having rejected the possibility of an IPO, Mason Stevens’ CEO details why the wealth platform went down the PE route and how it intends to accelerate its growth ambitions in financial advice.
