Criminal charges against CBA dropped
Criminal proceedings against the Commonwealth Bank of Australia (CBA) regarding sales of consumer credit insurance have been dismissed by the Federal Court due to a statute bar.
The bank had previously pled guilty to 30 criminal charges of making false or misleading representations to customers when selling consumer credit insurance between 2011 and 2015.
The proceedings were filed in 2021 but the Federal Court ruled there was a limitation period under the ASIC Act which required proceedings for an offence of this type to be commenced within three years. This rendered the charges against CBA invalid as they were statute barred.
The proceedings were dismissed on 14 December, 2022 with each party to bear their own costs.
The matter was being prosecuted by the Commonwealth Director of Public Prosecution following an investigation and referral by the Australian Securities and Investments Commission (ASIC).
AUTHOR
Laura Dew
Recommended for you
Some 42 per cent of CEOs say they are actively reinventing their business to stay relevant in the next decade, with consumer services the most common choice for asset and wealth managers.
Former Ophir Asset Management chief executive, George Chirakis, has joined private equity manager Scarcity Partners, while the asset manager has appointed a replacement from Macquarie.
Australian Unity has appointed a fund manager for its Healthcare Property Trust, joining from Centuria Healthcare, as it restructures the product with a series of senior appointments.
Financial advisers nervous about the liquidity of private markets funds for their retail clients are the target of fund managers launching semi-liquid products which offer greater flexibility and redemptions.
