Australia keeps banking sectors on a tight leash following scandal


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Australia keeps banking sectors on a tight leash following scandal

Following the reveal of a cascade of serious financial misconducts by major Australian banks including National Australia Bank, the Commonwealth Bank of Australia and the Australian & New Zealand Banking group, an investigating commission set up by the Australian government recommended in its final report on Monday, the 4th of February, that, the financial institutions would have to answer for 24 cases to the court.

According to the initial investigation commission’s final report revealed on Monday (February 4th), the customers were being apprehended with hawkish sales tactics, alongside, unethical financial products.

The inquiring commission had also criticized the supersizing authorities, saying that, they had been too saggy to punish the misconducts for several years, meanwhile the blatant financial misconducts kept rising on the horizon.

Besides, the commission has also been investigating the financial misconducts linked to the National Australia Bank, the Commonwealth Bank of Australia and the Australian & New Zealand Banking group for the last eleven months.

Followed by the initiation of the investigation, over 35 billion euro had been wiped out from the country’s largest financial stocks. Apart from that, the banks also appear to have tightened their borrowing standards, following the reveal of malicious misconducts of banks in Australia, that literally pushed millions of clients to unnecessary financial products.

None the less, both government officials and the oppositions, labor party, had promised to employ all 76 recommendations made by the inquiring commission, ahead of an Australian election, expected to be held in May and in future, financial organizations in Australia may have to disclose all of their sales commissions, among other certain things.