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
Government has introduced a bill to Parliament to legislate the first stream of the QAR reforms.
ASIC now has a 1:1 ratio when it comes to court success in the enforcement of crypto activities and more action is expected as Treasury seeks to introduce a regulatory framework.
A leading governance body has hit out at “specialist interest groups proposing ad hoc law reform” when it comes to reforms of financial services legislation and believes an independent body is needed.
The release of ALRC’s final report into financial services legislation has highlighted financial advice as a “significant” focus as it seeks to reduce costs and help advisers understand their obligations, alongside the Quality of Advice Review.