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A scandal-ridden national survey of the financial sector in Australia has proposed radical changes to end the industry's misconduct.
The Royal Commission spent 12 months investigating wrongdoing by some of the country's largest institutions.
He revealed the revelations that provoked a national shock. Among the most important scandals are charging fees for any service – sometimes to dead customers.
The government said it would respond to the 76 recommendations of the investigation.
The Royal Commission – Australia's highest form of public inquiry – was created after a decade of scandals that shattered confidence in the country's largest industry.
After the release of the report Monday, Treasurer Josh Frydenberg said the public had paid a "huge price" for this fault.
"It's a scathing badessment of greed-motivated behavior and unlawful behavior that is far below the expectations of the community," he said. declared.
"There have been broken business, and emotional stress and personal pain have shattered lives."
That heard the investigation?
The Royal Commission has received more than 10,000 public submissions. He interviewed more than 130 witnesses during the public hearings.
The focus was on the customers who had been exploited – and some financially ruined – by the banks and advisers in the sector.
Investigators learned that banks were charging fees for non-existent services and that some institutions even admitted charging fees to dead clients, including the country's largest lender, the Commonwealth Bank of Australia.
The other "big four" banks – National Australia Bank, ANZ and Westpac – were also examined during the hearings, as were many other financial institutions.
What did he recommend?
The report contained 76 recommendations for reform, including:
- More than 20 unidentified cases to be referred to regulators, resulting in possible criminal or civil proceedings
- The sector's sales culture should be reviewed to reduce conflicts of interest.
- Regulators must prosecute offenses more regularly or lose some of their powers.
What is happening now?
Frydenberg said the government would act "immediately" to legislate some reforms.
The government was criticized for objecting initially to the investigation, which it then described as "regrettable but necessary" to restore public confidence in the system. .
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