The two main Australian financial regulators will be able to use evidence exposed by the upcoming royal commission to ban individuals from the industry.
Australia's big four banks are about to face what could be a year long royal commission into misconduct in the country's banking and financial services sector.
Following a series of high profile misdemeanours ANZ, Westpac, Commonwealth Bank of Australia and National Australia Bank fell under growing political pressure.
Prime Minister Malcolm Turnbull said the commission, Australia's highest form of public inquiry, would help restore confidence in the sector. The royal commission will run for 12 months with a final report due by February 1, 2019.
Lying in Wait
Now law firm Dentons has sent another shiver through the industry noting that while evidence unearthed by the commission cannot be used against those giving evidence in either criminal or civil cases, it will be available to regulators, «InvestorDaily» reports.
John Dalzell from the law firm said recently that those who appeared in the royal commission into banking and financial services would have an element of protection. However, he elucidated that the protective measures did not affect the ability of financial regulators to exercise their powers.
The Australian Prudential Regulation Authority (APRA) oversees the Australian financial services industry while The Australian Securities & Investments Commission (ASIC) is an independent Australian government body that acts as Australia's corporate regulator. Both will be paying close attention to the upcoming proceedings.
