ANZ Hit with Record $240 Million Penalty for Widespread Misconduct, betraying Customer Trust
Sydney, Australia – Australia and New Zealand Banking Group (ANZ) is facing a massive $240 million penalty following admissions of unconscionable conduct and widespread misconduct impacting nearly 65,000 customers, the australian Securities and Investments Commission (ASIC) announced today. The proposed penalties, subject to Federal Court approval, represent the largest ever levied against a single entity by ASIC, signaling a firm stance against systemic failures within the banking sector.
The misconduct spans both ANZ’s Institutional and Retail divisions and stems from years of inadequate non-financial risk management. ASIC chair Joe Longo stated unequivocally, “Time and time again ANZ betrayed the trust of Australians.”
Key Findings of the ASIC Examination:
* Government bond Deal Manipulation: ANZ admitted to unconscionable conduct while managing a $14 billion government bond deal for the australian office of Financial Management (AOFM). The bank improperly inflated bond trading data by tens of billions of dollars over nearly two years, potentially reducing funds available for critical public services like healthcare and education. Crucially, ANZ failed to disclose its significant remaining sales volume to the AOFM before pricing, potentially exposing the government to financial risk. This conduct carries a proposed penalty of $80 million - a record for unconscionable behavior.
* Hardship Notice Failures: ANZ failed to respond to hundreds
