Already at the center of a money-laundering probe, Commonwealth Bank of Australia has come clean on other hidden scandals in its business – including how it dealt with deceased clients.
Sydney-based Commonwealth Bank of Australia, or CBA, has spent the last weeks in the glare of a money-laundering scandal which ultimately cost Chief Executive Ian Narev his job his job.
Now, the bank is wiping its slate clean of six other scandals in its business which could cost the bank millions.
These include not paying so-called superannuations towards retirement funds for its part-time employees, misselling credit card insurance, charging too much in home loan insurance premiums and even neglecting to cancel insurance policies after clients died.
«Litany of Shame»
The bank said it set aside provisions for all six of the outstanding issues, some of which it detected and reported to the financial regulator itself. Nevertheless, the «litany of shame» piles more trouble onto the bank at a time when it is defending itself against money-laundering allegations.
The bank said the update doesn't represent an exhausive list of all outstanding regulatory matters, merely those for which it has reached milestones and can inform investors.
