Australian regulator fines ANZ $165 million for systemic misconduct
Dec 19 (Reuters) - An Australian regulator said on Friday that ANZ Group was fined A$250 million ($165.3 million) by a Federal Court for misconduct in handling a A$14 billion government bond deal, as well other actions that affected taxpayers and retail customers.
The Australian Securities and Investments Commission (ASIC) said the court has ordered the lender to pay a total of A$250 million in penalties, stemming from four separate court proceedings across its institutional and retail banking divisions over misconduct disclosed in September.
Of the total A$250 million fine, A$135 million relates to institutional and markets misconduct connected to the handling of a A$14 billion government bond deal and the inaccurate reporting of secondary bond market turnover data, including a record A$80 million penalty for unconscionable conduct.
ANZ did not immediately respond to a Reuters’ request for comments.
Justice Jonathan Beach increased the penalty for ANZ’s inaccurate reporting of secondary bond market turnover data by A$10 million, bringing the fine for that misconduct to A$50 million, the securities regulator said.
ASIC Chair Joe Longo said the size of the penalties underscored the seriousness of ANZ’s misconduct and its far-reaching consequences, adding that the bank must overhaul its non-financial risk management and prioritise the interests of customers and the public.
($1 = 1.5124 Australian dollars)
