Saturday, November 28, 2020 11:32:07 AM
A global litigation funder on Tuesday said it would back a shareholder class action against Australia's biggest bank over alleged breaches of anti-money laundering laws.
Australia's financial intelligence agency AUSTRAC last month launched a civil case against Commonwealth Bank of Australia (CBA), alleging "serious and systemic non-compliance" of the laws involving thousands of transactions.
Funder IMF Bentham said the open class action, with the claim to be filed by law firm Maurice Blackburn in the Federal Court, would allege the bank neglected its disclosure obligations as a listed company.
It would also claim CBA made "misleading and deceptive public statements claiming performance... of its obligations under the (Anti-Money Laundering) Act", IMF added in a statement.
Maurice Blackburn believes it could become Australia's largest shareholder class action.
It would be open to those who bought stock in the bank, Australia's largest firm by market capitalisation, between mid-August 2015 -- when Maurice Blackburn claims the bank knew of its breaches-and last month.
CBA has more than 800,000 shareholders, with millions more holding stock through pension funds, according to this year's annual report.
The announcement came a day after a shake-up of the CBA board, with three directors to leave and a former banker at rival Westpac, Robert Whitfield, appointed.
Following scrutiny over the AUSTRAC action, CBA said in mid-August that chief executive Ian Narev would retire by the end of the 2018 financial year.
The board shake-up followed allegations reported by Sky News last week that CBA also failed to adequately monitor billions of dollars in global transactions, potentially falling foul of international regulators.
The Federal Court ruled Monday the bank would have to file its defence in the AUSTRAC case by December 15, with the agency to respond by March next year. The next hearing was set down for April.
The AUSTRAC case has prompted other Australian regulators to launch inquiries into the bank over its handling of the alleged breaches and its organisational culture.
Shares in CBA, which have slid since the launch of the AUSTRAC case, fell 0.40 percent to Aus$74.11 in Sydney on Tuesday.
It is unfortunate that the capital city had to witness three more disastrous fires in three separate places within only ten days of this month, claiming lose of huge livelihoods. Thankfully, in these three latest fire incidents, no life was lost.At the same time, the country also witnessed two terrible ...
Al Jazeera News :Australia has told 13 special forces soldiers that they face dismissal in relation to a report on alleged unlawful killings in Afghanistan, the head of the country's army said on Friday.Lieutenant General Rick Burr, the head of the Australian army, said the soldiers have been issued with ...
AFP, London :Jose Mourinho takes his table-topping Tottenham side to former club Chelsea this weekend determined to prove he is back where he belongs at the top of the Premier League.Four straight wins have taken Spurs to 20 points after nine games, ahead of Liverpool on goal difference, but Frank ...
REPORTS in a national daily said signing of free trade agreement (FTA) with individual countries or external trade blocs particularly with ASEAN countries figured prominently in discussion in foreign office on Sunday. The issue is quite sensitive and also timely as Bangladesh will cease to get duty free market access ...
Reuters, Chennai :A severe cyclone slammed into India's southern coast early on Thursday, uprooting trees and power lines, but there was little loss of life or extensive damage to property.Cyclone Nivar made landfall near the city of Puducherry in the southern state of Tamil Nadu with winds of up to ...
DESPITE LGRD Minister Tajul Islam's last Sunday assurance that Dhaka will be transformed into a modern and liveable city, the proposed Detailed Area Plan (DAP) for the capital is facing severe criticism from architects and urban planners. The flawed DAP, if implemented, will banish 70% of natural waterbodies and flood ...
AFP :Donors demanded an immediate ceasefire in Afghanistan on Tuesday as they pledged around $12 billion in aid over four years-but tied their money to civil rights being upheld in peace talks with the Taliban.At a virtual global donor conference hosted from the UN in Geneva, countries affirmed their commitment ...
AFP, London :Andy Murray said Tuesday that tennis players should be required to have a coronavirus vaccination before they are allowed to take part in tournaments.With the 2021 tennis schedule facing inevitable issues with the Covid-19 pandemic, three-time Grand Slam winner Murray hopes the long-awaited vaccine will be available by ...
PEOPLE are facing immense suffering in availing NID card related services, including its correction, due to indifference of the concerned Election Commission officials. As per a report of our daily many applicants for NID services have to face innumerable obstacles. They include apathy and a complete lack of interest on ...