Allianz investigating historic compliance issues

20 September 2018
| By Hannah |
image
image
expand image

Allianz chief risk officer, Lori Callahan, has admitted to the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry that the insurer had about 150 open compliance matters under consideration that may need to be referred to the Australian Securities and Investments Commission (ASIC).

The firm was also looking back through past compliance issues to see if anything should have been reported to the regulator but wasn’t. Discovering such a failure to report would also be uncovering a breach of section 192D of the Corporations Act however, as section 192 requires that any “significant”, even if only potential, breach be reported to ASIC within 10 business days.

Callahan did not know how many historic issues Allianz was looking at however, in a day of testimony characterised by her often being unable to answer the Commission’s questions.

“I’m a little surprised that you can’t give me any indication of the size of the task,” Commissioner Kenneth Hayne QC told her.

Callahan said that Allianz was “at the start” of introducing appropriate compliance practices. This year, for example, it had already made seven breach reports to ASIC, outstripping its average of one annually for previous years (which ranged from zero to four or five per year).

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest developments in Super Review! Anytime, Anywhere!

Grant Banner

From my perspective, 40- 50% of people are likely going to be deeply unhappy about how long they actually live. ...

10 months 2 weeks ago
Kevin Gorman

Super director remuneration ...

10 months 3 weeks ago
Anthony Asher

No doubt true, but most of it is still because over 45’s have been upgrading their houses with 30 year mortgages. Money ...

10 months 3 weeks ago

The fund’s inaugural chief retirement officer is looking to establish a new venture. ...

3 hours ago

The sovereign wealth fund remains cautious of the impact of high inflation as it announces a strong return in its latest update....

21 hours 43 minutes ago

In this latest edition, Anna Shelley, CIO at AMP, shares the fund’s approach to current market conditions and where it continues to uncover key opportunities....

22 hours 47 minutes ago