ASIC backs off on AUSTRAC action against CBA
The Commonwealth Bank of Australia (CBA) has revealed that the Australian Securities and Investments Commission (ASIC) will not be proceeding against the bank around issues raised by AUSTRAC.
The big banking group has notified the Australian Securities Exchange (ASX) that it had been notified that ASIC had concluded its investigation and would not take any enforcement action.
It said the matters being examined by ASIC involved proceedings initiated against the CBA by AUSTRAC on 3 August, 2017, “including the Group’s disclosure of those matters” and “whether directors and offices of CBA complied with specific obligations under the Corporations Act”.
ASIC had begun investigating the CBA despite the big banking group having reached a settlement with AUSTRAC in 2018 relating to allegations that criminals had been able to use CBA teller machines to launder the proceeds of crime.
The CBA paid a record $700 million penalty in settlement of the case.
Recommended for you
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
Compliance professionals working in financial services are facing burnout risk as higher workloads, coupled with the ever-changing regulation, place notable strain on staff.
The Senate economics legislation committee has recommended Schedule 1 of the Delivering Better Financial Outcomes legislation be passed as it is a “faithful implementation” of the recommendations.
Treasurer Jim Chalmers has handed down his third budget, outlining the government’s macroeconomic forecasts and changes to superannuation.
