Asset Stripping by Banks back on track…………………..whooppee say bankers
'Everyone' should welcome no bank royal commission
Madeline Heffernan
3 July 2016
"Everyone" should be pleased that a royal commission on banks won't proceed under a Coalition government, Bendigo and Adelaide Bank chief executive Mike Hirst says. Labor promised a royal commission on misconduct in the banking and financial services industry within 100 days of being elected. Its leader, Bill Shorten, said during the election campaign that the "banks do not need a tax cut – they deserve a royal commission".
The promises follow revelations of a scandal and cover-up at CBA's financial planning arm, as well as the CBA life insurance scandal, which saw sick and dying people denied claims, and the alleged manipulation of the bank bill swap rate by National Australia Bank. But the Coalition has opposed a commission and with Labor unlikely to form government, Australia's financial services industry might well be breathing a sign of relief. Mr Hirst said "everyone should be pleased", with one unlikely to go ahead.
"We just had an inquiry into financial services; there have been at least three Senate inquiries so another one would not have been a good use of taxpayers' monies," he said. "Better to provide more funding to [corporate regulator] ASIC, which is what has happened," he said. Geoff Lloyd, CEO of financial services giant Perpetual, said while the industry was "match fit" for any challenge, a royal commission was unnecessary and not something the public was itching for. "I don't think the general populace has got a view on that at all, I don't think they really know what that's needed for," he said.
"Australians know that our banking system has survived very strongly through the GFC, and they see their holdings in their banks delivering good dividends to them in retirement. "So I think there's been a lot of reform – let's get on with growth, rather than reform for the sake of reform. "We've had 13 reviews and commissions in the last five to eight years," he said. "It's not going to help growth. Financial services is the largest contributor to GDP now. Why aren't we supporting it for growth? How is reform going to help it grow?"
Comment .........Well he would say that, wouldn't he? And he would vote Liberal, obviously. But as a retired former senior bank employee I can tell you a Royal Commission into banking is a necessity. And I will be making a submission to blow their sock's off. The banking industry has mis- managed their responsibilities since de-regulation. Full stop.
Anon July 03, 2016, 7:01PM
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