BFCSA Blog

"A Royal Commission into the Australian Banking Sector is our democratic right. To deny us that right is truly unAustralian."   There are many strong arguments in favour of holding a Royal Commission into Banking with wide terms of reference.  One of the side effect of the Royal Commission is its capacity to bring the issues into every Australian home through the main stream media. This in turn will generate far greater awareness of the serious anomalies and inherent risks within the Australian Financial Sector. It may also answer the questions for so many Australians whose lives have been smashed by the deregulated "free market" Australian Financial Sector, directly and indirectly, including the big ones: Why weren't we told? How could this be allowed to happen in Australia? Consumer protection isn't for just for the elderly - it benefits all Australians. We've been badly misled by those entrusted to protect us,...

29 August, 2012 BankWest customers tell the Senate shocking stories of fraudulent foreclosures while Australia’s financial journalists are out to lunch — dining on the Commonwealth’s Bank’s record profits. Associate Professor Evan Jones reports. ON THURSDAY 16 August, the Sydney Morning Herald reported the Commonwealth Bank’s approximately $7.1 billion profit, up $700 million from 2010-11. The Herald’s financial journalists fell over themselves in adulation. Here was a true national champion. The previous week, a different story was being played out. The Senate Inquiry into the ‘post-GFC banking sector’ held hearings in Canberra (8th) and Sydney (9th & 10th). A couple of dozen spectators attended the Sydney hearings; it appears that the Herald was not amongst them. It was a spectacle. Transcripts of the hearings are available here. The Senate Economics Committee instigated its banking inquiry in March, following pressure from myriad former customers of CBA-owned BankWest who claim that their...

A LEADING Australian banker has been branded a goose after he reportedly praised Hitler during a briefing of business leaders. Macquarie Bank board director Michael Hawker reportedly told the meeting Hitler was a skilled leader. "You have to paint a great picture of your vision of the future if you want people to follow," he said, according to a report in the Australian Financial Review. "Hitler painted a great picture ... Well, maybe not from another point of view." The comment was allegedly made to Macquarie clients at Sydney's swanky Westin Hotel on Thursday. Macquarie Bank yesterday refused to say whether Mr Walker was accurately quoted or address concerns the comments were offensive. Read on ... http://www.heraldsun.com.au/news/victoria/hitler-had-great-vision-macquarie-bank-board-director-michael-hawker-tells-business-leaders/story-e6frf7kx-1226452911520 (Note: I used my FREE 28 day pass from The Australian to read this.)...

It only took six years for Tony Mokbel, a suburban pizza maker worth less than $100,000, to be rolling in dough. Source: Herald Sun THE boss of the National Australia Bank has admitted its multi-million-dollar relationship with drugs boss Tony Mokbel was not acceptable. Cameron Clyne said he would examine how the NAB loaned Mokbel millions of dollars to invest in property and expensive cars at a time his reported taxable income was $160 a week and when police were closing in on his drug empire. The Herald Sun told yesterday how in documents released this week by the Supreme Court it was revealed that between 1996 and his arrest in 2001, Mokbel amassed a portfolio of more than 20 properties, financed by loans from the NAB and cash from his amphetamines business. Read on .... http://www.adelaidenow.com.au/national-australia-bank-chief-admits-banks-relationship-with-drug-baron-tony-mokbel-was-unacceptable/story-e6frea6u-1226452943587...

  I suggest everyone take a look at the new NAB promotion for Honesty. Their home page takes you via a link to their latest credit card marketing strategy. Further down the page you can read the results of a survey : What makes Australians honest? I'd love to hear what other BFCSA members think of this. Is the NAB capitalising on the move toward ethics in business after Denise Brailey put them all on notice about telling the truth at the Senate Inquiry last week? Or is this just a co-incidence? After all we heard that Australians are losing their taste for credit. It certainly pays to be an enlightened consumer when considering buying into the credit market for any reason. Can you spot the tricks and traps in credit advertising yet? Enjoy!    ...

By Leith van Onselen Claims that Australia’s banking sector is conservative, safe and secure have taken a bath in recent days as evidence has emerged of Australia’s own sub-prime lending scandal. In April, we learned via the Australian newspaper how Australia’s largest banks are being forced to forgive mortgage debts of borrowers granted loans based on falsified or fraudulent information supplied by mortgage brokers. Then in June, the Australian followed-up with further reports (here and here) of Australian sub-prime lending, and the battle playing-out between unscrupulous lenders and borrowers. Now the Senate Inquiry into the post-GFC banking sector has revealed several instances of banks providing home loans to people who can’t afford them, and doctoring the paperwork so the loans looked okay. As well as allegations of widespread boosting in loan approvals. Perhaps the most shocking of the revelations are instances where the banks have been enticing elderly Australians into Ponzi-like...

If you want to follow my tweets (BFCSA, banking, mortgage fraud, financial and regulator issues, non-partisan politically) my Twitter address is LisaMar83906244  I'd you want me to follow your tweets please DM. I'm been working on raising interest in both the BFCSA and the Senate Banking Inquiry. Would love your assistance with this activity if you have time. Thankyou Lisa    ...