Category Archives: Australian Bankers Association
from CEC, Coburg
Sensational information has surfaced that an Australian Treasury delegation travelled to Europe in February for discreet meetings with European countries on how they handled their banking crises.
Former Coalition economics advisor John Adams made the revelation in a 31 March discussion with Martin North posted on their Interests Of The People YouTube channel, entitled “Scandal – Australian Officials Caught In Covert Banking Meetings”.
Adams attributed the information to an unnamed source, who spoke with both him and Martin North.
This information emerged following news.com.au on 19 March reporting Adams and North for their explosive analysis that Australia’s plunging property market could trigger a banking crisis that could spread overseas, “Australia could be ‘first domino to fall’ in next GFC”, in which they compared Australia’s housing market and banking system to that of Ireland before its crash in 2008. Adams followed this up with a top-rating appearance on Peter Switzer’s Money Talks program on 25 March to debate establishment economist Chris Joye on “Is Australia facing a house price collapse?”, in which he also made the comparison to the banking crises in Europe.
The Citizens Electoral Council can attest that Treasury has consistently denied the likelihood of an Australian banking crisis, despite the growing number of signs. Treasury’s claim that a banking crisis is “unlikely” is one of its excuses for opposing the need for a Glass-Steagall separation of banks.
So why would a Treasury delegation be holding covert meetings in Europe to consult on how to handle precisely such a crisis?
Don’t tell the passengers the Titanic is sinking!
As noted on the latest episode of the CEC Report, the Australian government has a policy of not telling the truth about the economy. Their logic is they don’t want to “spook” the market, or “talk down the economy”. John Adams has reported that government MPs have asked him not to speak out about the economy.
More to the point, according to Adams, one MP admitted they are anticipating a crisis, but hope it would be triggered by an international financial shock, so the government can have plausible deniability and not have to admit that their domestic economic policies, centred on inflating the biggest housing and debt bubble in Australian history, caused the crash.
This amounts to: “If we don’t tell the passengers that the Titanic is sinking, maybe they won’t blame us.” The regulators are even worse. Their attitude is: “If we don’t find out whether the Titanic is sinking, maybe it will stay afloat”! This is evident in Reserve Bank of Australia (RBA) deputy governor Guy Debelle’s statement in December 2018 that when it comes to assessing Australia’s record debt, “there is little to form a strong conclusion about how much is too much”. It is also evident in the recent revelation by analysts at Deutsche Bank that the Australian Prudential Regulation Authority (APRA), the bank watchdog, has understated mortgage debt by as much as 40 per cent! This is not incompetence from APRA, but a result of its see-no-evil, speak-no-evil approach to regulation, even to the point of ignoring systemic threats. APRA in 2007 suppressed an internal report by its research department that warned lowered mortgage lending standards by banks had created a bubble, in which defaults were rising and were on track to cause a banking crisis and recession. In 2010 APRA went one step further and disbanded its research department.
Two possible explanations for the Treasury meetings in Europe are: 1) a genuine desire to learn from their experience so they can spot a crisis coming and take action to avert it—unlikely; 2) an opportunity to assess the “bail-in” system that is in force across all EU member states, the Bank Recovery and Resolution Directive (BRRD), which authorises financial authorities to contain a future financial crisis by seizing savings deposits to prop up failing banks, so they don’t set off a chain-reaction collapse.
In his 2018 budget Scott Morrison announced a ban on cash transactions over $10,000, originally to come into force in July 2019, but now January 2020.
With this measure, Australia has joined what outspoken former Liberal Party economics advisor John Adams, who is forecasting an impending economic Armageddon, calls the “war on cash”—nations deliberately moving to a cashless society.
Going cashless is commonly promoted as an efficiency measure driven by technology, but it coincides with the global push for “bail-in”—the policy of averting bank failures by seizing the savings and investment funds of depositors and other classes of creditors.
Bail-in is one of a number of sinister developments in the international financial system, including negative interest rates, which drive people to keep their money in cash.
If it’s not in the bank, it can’t be bailed in.
And you can’t be charged for having it there, which is how negative interest rates work.
Morrison snuck a bail-in law through Parliament in February last year, the Financial Sector Legislation Amendment (Crisis Resolution Powers and Other Measures) Act 2018, with only a handful of MPs and Senators present when it passed and no recorded vote.
It authorises the “conversion or write-off”, a.k.a. bail-in, of so-called hybrid securities which are better known as bail-in bonds, which have been sold to hundreds of thousands of unsuspecting mum and dad investors and self-funded retirees. They are at risk of losing, collectively, more than $40 billion.
But the law included a massive loophole that the Citizens Electoral Council’s legal experts, as well as John Adams, Digital Finance Analytics Principal Martin North, and former APRA Principal Researcher Dr Wilson Sy, identified could be used to conduct a back door bail-in of deposits by stealth.
When Pauline Hanson’s One Nation senators notified the government they intended to close this loophole with an amendment that explicitly excluded deposits from any bail-in, the government and Labor Party opposition rushed the bill through the Senate when the One Nation senators weren’t present in the chamber.
Now, as the CEC revealed 4 March, the International Monetary Fund is saying that the 2018 law isn’t enough, and is demanding the government enact a full statutory bail-in regime that explicitly includes deposits. Moreover, the IMF is demanding that the government scrap all democratic safeguards over the bank regulator APRA, by which the Treasurer can give APRA directions and the Parliament can disallow an APRA policy. The IMF wants these safeguards scrapped, so that in the event that APRA orders a bail in of bank deposits in a future crisis, the government will not be able to block the order to protect the public.
This bail-in policy is guaranteed to destroy the public’s confidence that their banks will keep their money safe, and will drive people to take their money out and hoard it in physical cash or other forms.
So what are we seeing around the world coinciding with the rollout of a global bail-in regime? A massive and draconian crackdown on the freedom to use cash.
This is most obvious across the European Union, where the EU bail-in system called the Bank Recovery and Resolution Directive (BRRD) came into force in January 2016.
According to a 25 February 2019 post by John Adams on his website entitled “The New Global Push for Negative Nominal Interest Rates”:
- France has legally prohibited cash transactions above €1,000;
- Spain has legally prohibited cash transactions above €2,500;
- Italy has legally prohibited cash transactions above €3,000;
- the European Central Bank ended the production and issuance of its €500 note at the end of 2018.
Also, the government of India eliminated 86 per cent of all physical cash throughout the Indian economy in 2016 by banning popular denominations of the currency. This created a political uproar in India, and fuelled suspicion of India’s bail-in law which was introduced the following year, the same time as Australia’s. The backlash was so great that the Indian government was forced to withdraw its bail-in law—the first time that has happened.
Sweden is 95 per cent cashless, and Vietnam has a plan to become 90 per cent cashless by 2020.
Another common justification for the war on cash is the need to crack down on the black economy, which is the Morrison government’s excuse. But this isn’t genuine. There are adequate measures in place to track cash-based criminality, which CBA and other banks have ignored, and the same Morrison government shamelessly protects those banks from real scrutiny and real consequences.
The fact remains that limits on cash trap people in banks where they can’t escape bail-in.
Join the CEC’s fight to defeat bail-in and force Parliament to pass the Separation of Banks bill that Senator Pauline Hanson introduced on 12 February, for a Glass-Steagall separation of banking from speculation, which will fully protect deposits from financial dangers and bail-in, and restore confidence in the banking system.
What you can do—fight for the Separation of Banks bill to stop bail-in
- Make a submission to the current Senate Economics Legislation Committee inquiry in support of the Separation of Banks bill. The submissions deadline is 12 April, but do it straight away. Click here for instructions on making a submission.
- Call the chairman and deputy chairman of the Senate Economics Legislation Committee to demand they hold public hearings on the Separation of Banks bill, so that the inquiry is transparent and they can get a proper understanding of the need for bank separation from real experts who are not beholden to the banks.
Chairman: Senator Jane Hume – Liberal
(03) 9428 1773
Deputy chairman: Senator Chris Ketter – ALP
(07) 3881 3710
Veteran political commentator and conspiracy researcher David Icke, 66, has been refused entry to Australia to conduct a speaking tour.
Already the left wing of the ABC and terrified Liberal and Labor politicians have thanked the quisling Liberal Home Affairs Minister David Coleman for banning entry to Icke.
Dvir Abramovich, the chairman of the Jewish Anti-Defamation Commission who launched the campaign to revoke Mr Icke’s visa, praised the Government for “declaring in a loud voice that anti-semites and Holocaust deniers will never find a home in Australia.”
Labor’s immigration spokesman Shayne Neumann, favourably regarded as an intellectual pygmy, said the Government has made the right decision in this case.
Never mind the ALP and Liberals have admitted into the county thousands of Islamists with allegiance to Allah as well as being adherents of extreme Sharia law which permits polygamy and child sex.
Minister Coleman obviously prefers this type of immigrant whose culture is incompatible with this nation and is nothing new to the Jews.
Icke blew the whistle on Israeli secret service Mossad’s involvement in 9/11 along with US intelligence agencies and the Bush family.
Labor too is terrified Icke could tie their home-grown Marxists and socialists to the Communist Chinese party and reveal illegal union donations of millions of dollars to some pollies.
What a motley, ragtag bunch of unintelligent politicians we have in charge of our government. Is it any wonder Australia has become the laughing stock of the world?
The Senate Economics Legislation Committee on 14 February initiated an inquiry into the Banking System Reform (Separation of Banks) Bill 2019.
This landmark senate inquiry was ignored by big media which preferred sensationalising the dust-up between One Nation’s James Ashby and its former senator Brian Burston in the halls of the senate.
from Citizens Electoral Council
This is a major blow for the banks, which had assumed that the Hayne Report from the banking royal commission, which did not recommended structural separation, would be the final word on the issue—bank shares soared on the news they wouldn’t be broken up. They celebrated too early, however.
On 12 February, a week after Hayne’s report became public, Senator Pauline Hanson introduced into the Senate the same bill that Bob Katter had introduced into the House of Representatives in June 2018. This bill was carefully drafted by the Citizens Electoral Council based on the USA’s successful Glass-Steagall Act of 1933 and the updated “21st Century Glass-Steagall Act” bill currently before Congress, adapted for Australia’s financial system.
The bill separates traditional commercial banks that take deposits and make loans from all other financial activities. This solves the problems of both vertical integration—the gross conflict of interests involving banks advising their customers to buy products from other businesses the banks also own; and horizontal integration—banks mixing commercial banking with risky investment banking that puts customer deposits, and the whole economy, in danger. The bill also brings the failed bank regulator APRA (Australian Prudential Regulation Authority) under much tighter parliamentary control.
Bank separation has the support of most cross-bench politicians in Parliament, including the Greens, Centre Alliance, One Nation and independents. It is also supported by key backbenchers in all of the major parties. The Labor Party had said they would support it if recommended by the royal commission; however, sticking with that position is untenable. They know that Commissioner Hayne’s terms of reference forbade the investigation of “structure”, which Labor had intended a royal commission would have looked at. Also, even Labor’s senior statesman Paul Keating has strongly criticised Hayne for not recommending structural separation.
(Hayne’s recommendation against structural separation is a scandal: that section in his report includes a blatant lie, and experts familiar with public inquiries have accused Treasury of a “dirty trick” to rig the outcome in favour of the banks.)
The opposition to separation comes from the big banks, the discredited regulators which are captured by the banks, and the leadership of the major parties who take huge donations from the banks. The banks wish to keep the parasitical structure that has enabled them to amass huge profits, not only through gouging their customers but also through gambling with their deposits, which they use to underwrite their huge derivatives bets that collectively amount to more than $40 trillion. There is a revolving door between the banks and regulators: high-powered executives from banks take key positions in the regulators, such as ex-UBS chief John Fraser taking over as Treasury Secretary in 2013-18 and former senior investment bankers holding six of the nine positions on the executive of bank regulator APRA; and regulators retire to plum banking positions, such as former Treasury Secretary Ken Henry becoming chairman of NAB and former RBA governor Glenn Stevens joining the board of Macquarie Bank. And not only do the big banks donate to the major parties, but so does the Australian Banking Association which lobbies for them, as do the Big Four global accounting firms which audit the major banks and have a track record of covering up dodgy bookkeeping by banks all over the world.
Make a submission
This inquiry is the chance for the Australian public to force the debate on banking separation that the royal commission was not allowed to have. The Senate Economics Legislation Committee is taking submissions from the public, so every concerned Australian should make a submission.
Here are some points to note about the Glass-Steagall principle of full banking separation:
- It works, as proved by its success for almost 70 years (1933-99) in America;
- It ends the conflicts of interests of vertical integration, which is the only way to ensure the misconduct exposed by the royal commission can’t happen again;
- It protects deposits from the dangers of speculation, which boosts confidence in the banking system;
- It stops banks from diverting credit into unproductive financial speculation, thus making more credit available for lending to neglected sectors such as small business, industry and farming.
The submissions deadline is 12 April, but don’t delay—make your submission today!
How to make a submission
Written submissions can be delivered to the Committee in two ways: 1) by physical post; 2) online.
- Post your written submission to: Senate Standing Committees on Economics
PO Box 6100
Canberra ACT 2600
Phone: +61 2 6277 3540
Fax: +61 2 6277 5719
Hon Bob Katter MP
KAP Leader and Federal Member for Kennedy
will respond via Facebook video to the release of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry report, as the first politician who called for a Commission back in May 2015.
3:30pm (Qld time)
TODAY (Monday, 4 February 2019)
Staff will upload live video to Bob Katter’s Facebook page re his response to the report’s release and findings.
Please note, Mr Katter is unable to travel from his home in Charters Towers today due to extensive flooding in Townsville and throughout the Kennedy Electorate and the closure of the Townsville airport (hence the Facebook video).
Timeline of the Banking Royal Commission and how it originated:
- End 2012 – Rural Debt Summit – Bob pressures the then Treasurer and Deputy Prime Minister Wayne Swan after a question in Parliament to act on spiralling rural debt. Bob pushes to form the Rural Debt Roundtable Working Group.
- 7 May 2013 – Bob organises rural crisis meeting in Richmond, Central Queensland. Bob forms Gulf Cattleman’s Association to steer the meeting and actions going forward. Federal Member Barnaby Joyce as Shadow Agriculture Minister and (then) Chief of Staff, Matt Canavan attend. Former Senator the Hon Joseph Ludwig (Minister for Agriculture, Fisheries and Forestry) also attends. Focus on the crisis meeting is on debt, drought and live cattle exports. After the meeting is called, but prior to being held, on 27 April 2013 Swan and Ludwig announce concessional loans (in Queensland, administered by QRAA) – package worth $420m Australia- wide.
- 30 June/1 July 2013 – Indonesian Ambassador tours the Gulf with Bob. The next day, the Indonesian Ambassador flies to Jakarta to brief the President ahead of Prime Minister Rudd’s visit. Live cattle quota numbers are restored following Rudd’s visit.
- 28 Feb 2014 – Bob and Rural Debt Roundtable Working Group Chair meet with Australian Banking Association (CEO and bank executive members) in Sydney regarding rural debt and the Private Members Bill for a Rural Reconstruction Board.
- 5 December 2014 – Winton ‘Last Stand’ meeting called by Robbie Katter (Queensland State Member for Traeger and Bob’s son) where Federal Member Barnaby Joyce attends as now Minster for Agriculture and Water Resources. Radio and TV commentator Alan Jones is a special guest. From this, David Pascoe compiles a Facebook story about Charlie Phillott and the ANZ Bank , which goes viral. Following this meeting, Minister Joyce gives another $100 million in concessional loans and the ANZ puts a moratorium on foreclosing on any new drought-affected farmers for a year. Bob says he will name and shame banks behaving badly in the media and Parliament.
- May 2015 – After battling ANZ and other bank cases, Bob calls for a Royal Commission into the banks.
- 12 July 2015 – 60 Minutes airs story on Charlie Phillott and ANZ Bank.
- 30 August 2015 – Mike Smith’s (CEO of ANZ) apology to Charlie Phillott airs on 60 Minutes.
- 19 October 2015 – Queensland State Member for Traegar Robbie Katter is appointed Chairman of the Queensland Government’s Rural Debt and Drought Taskforce. The final report, released in in April 2016, made 14 recommendations including establishing a Rural and Industries Development Bank, a Farm Debt Reconstruction Authority, and a commercial Multi-Peril Insurance (income protection) product for all primary industries.
- 26 May 2016 – Queensland State Member for Traeger Robbie Katter introduces the Rural and Regional Adjustment (Development Assistance) Amendment Bill.
- 10 October 2016 – Bob introduces Banking Commission of Inquiry Bill 2016, as per election promise.
Federal Member of Parliament George Christensen comes out publicly saying he will support a bill by Bob.
- 27 March 2017 – New Bill introduced by Bob which has input from other MPs – People of Australia’s Commission of Inquiry (Banking and Financial Services) Bill 2017.
- November 2017 – Then Prime Minister Turnbull announces he will call a Royal Commission after the big banks give him the go-ahead.
- 25 June 2018 – Bob moves the Banking System Reform (Separation of Banks) Bill – legislation for Glass- Steagall separation of commercial banks from all other financial activities.
- 27 June 2018 – Bob attends the Banking Royal Commission public hearings and asks a question of the Commissioner Kenneth Hayne QC. Mr Katter interrupts proceedings to ask the Commissioner whether the banks’ failures will be properly fixed. The Commissioner concedes that public hearings into agribusiness lending will have to be extended.
- 4 October 2018 – Bob directly asks then Treasurer and now Prime Minister Scott Morrison in Parliament if he could assure the House that the Royal Commission would include the “carrion” – the receivers – and address the issue of a Reconstruction Bank. The Banking Royal Commission a priority in the 45th Parliament for Bob Katter.
from Channel 9
A woman who was yesterday involved in a five-hour siege at a Perth property has died in hospital.
Officers were called to a home on Douglas Road in Martin, in the city’s south-east, about 9am yesterday following reports a couple in a home made threats after the sheriff’s office came knocking to repossess their home.
Police fired a single non-lethal shot as the siege came to an end at about 2.30pm.
The home is owned by Rodney and Janice Croft, who were arrested by police.
Soon after, Mrs Croft was rushed to Royal Perth Hospital in cardiac arrest and in a critical condition. Her husband remains under police guard in hospital.
It’s not clear when she suffered the cardiac arrest or if she was hit by the non-lethal police round.
Mr Croft was the former Deputy Mayor of Gosnells but in recent years the couple had battled long running and costly legal troubles.
It is understood they owed close to a million dollars.
No charges have yet been laid. (Against the police? Ed)
by Jim O’Toole
Senator in exile, Rodney Culleton, after being locked in battle with the corporate Australian legal system since 2016, has filed an action in the High Court of the United Kingdom to have his expulsion from the senate overturned.
Culleton said yesterday he was excited the High Court had accepted his Constitutional argument in the first step to overturn the Australian High Court direction he be thrown out of the senate because of bankruptcy.
“I have never been bankrupt,” he said.
A single judge of the Federal Court issued sequestration orders against Culleton in 2017 freezing his assets in spite of a 21 day stay of proceedings being granted by the Federal Court.
Vexatious litigant and Perth businessman Dick Lester claimed Culleton owed him $200,000 over a failed sale contract on land, a claim pursued hotly by Culleton but he says Federal Court Judge Michael Barker failed to follow court rules, ignored all due process and did not look at his affidavits.
“When I was sworn-in as a senator on August 30, 2016, I swore allegiance to Queen Elizabeth 2 of the United Kingdom, making an oath to uphold the law.
“I did not swear allegiance to the fictitious Queen of Australia.
“This ceremony was witnessed by the Governor General and his deputy.
“It should be noted the Commonwealth Constitution Act of Australia 1900, (UK) remains in force and cannot be repealed by an Australian Government.
“The High Court of Australia does not have the jurisdiction to throw senators or members out of Parliament. Either House has the only jurisdiction under s47 of the Constitution to deal with a Member’s qualification.
“The Constitution is everyone’s contract but we can’t get a remedy in Australian star chambers which don’t recognise the Constitution.”
The HCA has long drawn criticism from those being refused a hearing on Constitutional matters, with litigants claiming the court is not functioning as a Chapter 3 court as required by the Constitution.
Culleton gave the example of any senator or MHR who files an action in the HCA. It is unlawful for the court to hear any evidence relating to parliamentary procedures under s16 (iii) of the Parliamentary Privileges Act 1987, he said.
“As a result they threw out my Motion 163 without having jurisdiction because they are not sitting as a Chapter 3 court operating under the proper Crown.
“There is no such thing as the ‘Queen of Australia’.
Culleton has asked the Law Lords of the Queens Bench to examine his request to debate his senate Motion 163 of 2016 which the Solicitor General filed in the HCA.
The statement of agreed facts filed in the HCA by the Solicitor General states a NSW Magistrate, in Culleton’s absence could not imprison him for the alleged theft of a $7 truck key from his own truck.
This matter could have, if imprisoned, disqualified Culleton from the senate under s44 of the Constitution.
“Motion 163 of 2016 was a requirement passed by the House announcing that Attorney General George Brandis’ referral of November 7, 2016 to the HCA is faulty and that there needs to be further investigation into that faulty action, originally orchestrated by former Senators Parry and Brandis, which was never passed by any procedure of law, ,” Mr Culleton said.
He said the senate could not lawfully vote on Brandis’ December 7 motion at the time because there were insufficient senators present to form a Quorum under s22 of the Constitution and the relevant material was withheld from the chamber by Senator Brandis and Senator Pauline Hanson.
Culleton’s legal team remains in London until a hearing date is set by the full bench.
by Senator Fraser Anning
Since becoming a Qld Senator last year, I have assigned a staffer to listen to the stories of people who have been victims of questionable lending practices of Banks.
I wanted to assist these people by helping them find ways to receive justice. At the same time, I have been trying to get the Banking Royal Commission extended so they can deal with all the problems
in the banking system.
I have been motivated by the experiences of several close friends who have been victimised by banks and who have unjustly lost their assets and their livelihood.
The Government has resisted calls to extend the Royal commission, but less than 30 cases (from the 10,000 submissions to the RC) have been looked at. This means that so far, only the tip of the iceberg has been exposed.
During my investigation into this subject, I have been staggered by the depth of deceit and manipulation that I have heard from Bank victims involving the clever and deceptive actions of banks, lawyers, receivers, liquidators and other bank agents. The public has been kept completely in the dark by a media which is indifferent at best.
My staff have looked at more than 80 cases in detail. Many of these unfortunate people had successful businesses, farms, pubs, and houses worth millions of dollars. Within a short time, their assets were sold, and they were bankrupted.
The bankruptcies appear to have been a tactic to make sure they did not have any means to fight back.
Some victims have suicided, but many, many more have been so depressed and distraught they cannot even bear to hope for justice. My staff know of several who could not even write a submission to the Royal commission due to the pain of remembering the details.
There are three points I want to make for Australians to consider:
1) It is vital we elect people in parliament who will not be corrupted by party politics or personal payoffs. Unfortunately, few will buck the system and stand on the side of justice.
Instead, they allow themselves to be controlled by the party. I don`t believe the dominating party system was the intention of our nation’s founding fathers, and …….it is destroying our democracy and preventing justice from being done.
2) If you are a bank victim, I suggest you join in with the hundreds of others who are getting mobilised to find ways to get justice. Please contact my office to learn how to get in touch with the appropriate people.
3) Many Bank victims (and one of my staff) have been attending Bank AGMs to inform shareholders and the banks boards about the human consequences of bank actions.
These actions have financially and emotionally destroyed some customers. I encourage people to use BANK AGM`s as ways to shine a light on the corrupt behaviour of banks (and their agents), so they will be pressured from inside as well as from outside their organisations.
I wish all Australians well and I encourage them to say hello whenever I visit their area.
Non-recourse lending needed urgently to curb banks
Plummeting house prices has KAP Leader and Federal Member for Kennedy Bob Katter slamming the banks saying it’s time we stepped in line with other countries and introduced non-recourse lending to prevent further torture to homeowners while the banks take a free ride, using their power to “drive over the top of us” and “crush us at their whim”.
Currently, Australia has recourse lending, while America (and most other countries) have non-recourse lending, which means the bank can only get the house back; they can’t get the debt back.
“The borrower pays off $100k on their $500k house, he’s behind on his repayments, the bank sells it up for $300k, they get a tax write off of $100k, they have an insurance loan guarantee that pays off the other $100k. Meanwhile, the poor old once proud homeowner now has no house, has lost $100k and is $200k in debt – he’s a debt slave for the rest of his life,” Mr Katter said.
“Undoubtedly we’d be one of three or four key players in securing the banking enquiry – we never made a call for it without reference to the overheated housing market.
“There is an impending disaster – the average price of a house in Sydney, Newcastle and Wollongong is $800,000 and the average take home pay for a couple is around $80,000 – how are you going to service that debt?
“KAP policy says that Australia must get in step with other countries. The bank knows better than a 23-year-old newly married apprentice and whether he and his wife can afford to pay $1000pw.
“It may be argued the bank is more culpable than the borrower – in America there is non-recourse lending where the banks, as they should, share the loss.
“Further, I am scared silly that the ALP actually intends to abolish negative gearing, people buying houses for investment will leave the market and housing prices will collapse even further, and I want people to know cold bloodedly there is a crashing down of housing values that will be precipitated if Labor proceeds with extraordinarily irresponsible action,” Mr Katter said.
There were explosive scenes at the banking royal commission on November 27, during its final days as an audience member accused it of “concealing fraud”.
ASIC a toothless tiger when it comes to the Commonwealth Bank
The banking royal commission was hijacked this afternoon by an outburst from an angry audience member who accused it of fraud.
The man interrupted senior counsel assisting the commission Rowena Orr QC, who was questioning Australian Securities and Investments Commission (ASIC) chair James Shipton.
Royal commissioner Kenneth Hayne QC repeatedly asked the man to stand down without success, and appeared to be thoroughly unimpressed during the tirade.
The man, who had been seated in the public gallery, ranted against alleged corruption within the banking and financial services industries.
Although his words were difficult to hear over the commission’s webcast, he was clearly heard accusing the commission of being “corrupt” and “concealing fraud”.
“Why are you concealing the greatest fraud in this country which is variable interest rate loans?” he said.
Security eventually escorted the individual from the courtroom.
In typical Rowena “Shock and Orr” style, the QC continued on completely unfazed, immediately firing off her next question.
Earlier today, Mr Shipton admitted ASIC should take criminal action against the bigger financial institutions more often, and said the organisation had failed to act against the Commonwealth Bank’s mishandling of consumer credit insurance and National Australia Bank’s home loan fraud.
“Today these matters would be handled very differently,” Mr Shipton said.
“I used the word mistake deliberately because mistake, in effect, constitutes a misguided decision.”
He said ASIC had only just started to take action against CBA in October — more than two years after the bank owned up to the insurance mis-selling.
Mr Shipton, who has been in the top job since February this year, said ASIC had focused on fixing the problem with customers instead of taking action against the bank.
“In some cases I clearly am of the view that we should have tried to and work towards running both remediation program and the enforcement investigation at the same time, in parallel,” he said.
But Mr Shipton insisted ASIC would be pursuing more legal action in the future when faced with banking misconduct.
“I want to make it crystal clear we will be undertaking more court-based actions,” he said.
“We will be more adventurous, as it were, in pushing points of law.
“We will be taking more — let’s call it risks, because we now have, through my direct engagement with the government, more funding to do exactly that.”
The commission also heard CommBank was concerned about being seen as “paying off” ASIC after the bank was let off the hook with a $300,000 community donation — which the regulator agreed with — instead of a fine over misleading CommInsure ads which were found to have breached the law.
“It was a mistake not to act quicker, swifter and earlier,” Mr Shipton said in response.
Ms Orr’s trademark, dogged questioning was on show yet again today, as she repeatedly insisted Mr Shipton answer her questions thoroughly during a number of tense exchanges with the witness.
The inquiry has ended without the Commissioner calling for extra time to examine more than the 27 distressed farmers it heard, out of more than 10,000 submissions it received.