Media reports still pressing for Royal Commission
Media reporting of the appearance of IOOF chief executive, Chris Kelaher, before a Senate Committee in Sydney yesterday sought to link the issues within IOOF to financial advice, even though it involves the company's research division and no linkages to its advice business have, as yet, been made.
A report of the Senate Committee hearing on ABC television last night sought to link the evidence given by Kelaher to calls for a Royal Commission into the financial planning industry citing Commonwealth Financial Planning whistleblower, Geoff Morris, but the IOOF CEO said last month that no link existed with the firm's financial planning business and it was mischievous to suggest otherwise.
Yesterday's Senate Committee hearing traversed the allegations raised in the media and extensively canvassed in a Senate adjournment debate statement by NSW National Party Senator, John Williams.
During yesterday's hearing, Senator Williams asked the IOOF CEO about the company's reporting of financial planners to the Australian Securities and Investments Commission (ASIC) and referenced media reports that IOOF had compensated 57 clients in the past two years and was reviewing the client files of a Perth-based planner who had never been reported to ASIC.
In responding to questioning from Williams and NSW Labor Party Senator, Sam Dastayari, Kelaher confirmed the company had not reported allegations of misconduct by some of its senior staff to the regulator, ASIC.
Kelaher also acknowledged during questioning that IOOF head of advice research, Peter Hilton, had received two first and final warnings — one in 2009 and another in 2014.
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