Everybody needs to read this book for the information given is revealing, on how badly we are all treated by our banking systems. How badly they treat their customers You and I. How they were allowed to get away with their schemes. Most of them were just plain dishonest schemes. lacking in morality and fiduciary responsibility, the significant revelation came with knowing the Regulatory bodies ASIC and APRA failed miserably in doing their duty to the Australian people.It stressed how WE ARE REALLY ON OUR OWN. They are and have been untrustworthy to handle our hard earned money.
Without reading this book, most ppl outside of the banking industry wouldn’t know how corrupt and greedy particular ppl in the banking industry are. And let’s not forget the pathetic corporate watchdogs, the ACCC. Given what these public servants are paid they perform to a less than satisfactory standard.
This is a shocking and riveting account of the failures of modern banking, which appears to have no moral principles, and seems to focus solely on profit at customers' expense! It is a well-written and engaging expose of the conical world today. I recommend it to anyone interested in safeguarding their money!!
If you have a bank account, superannuation or insurance, you should read this book. Unless, of course, you’d rather read the full report of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry. Commissioner Hayne’s Final Report is 1133 pages long, contains 76 recommendations, and a number of referrals of potential misconduct to regulatory authorities for further investigation and action.
In this book, journalist Adele Ferguson includes the background to the royal commission. Given the findings, it’s sobering to think that the royal commission almost didn’t happen. Given the tight timeframe given to the royal commission, a more in-depth examination of aspects of the financial services industry was not undertaken. Which is a pity on at least two counts. Firstly, given the depths some of the financial industry players went to in hiding their unethical behaviour, I wonder what else has not yet seen the light of day. And secondly, because:
‘There had been more than 10,000 submissions to the royal commission, but fewer than thirty victims had been called. Moreover, many guilty former executives had not been summoned to the dock to account for their misconduct. Some were still in their jobs; others had moved onto different institutions, spreading poor behaviour further.’
In his interim report (September 2018), Commissioner Hayne wrote (of systemic misconduct):
‘Too often, the answer seems to be greed – the pursuit of short-term profit at the expense of basic standards of honesty’, he wrote, ‘How else can charging advice fees to the dead be explained?’
In a hard-sell environment people were sold unsuitable products, some were given loans they could not hope to service. Funds were mismanaged, signatures were forged, egregious fees were charged. It’s easy to blame some of this as a consequence of financial deregulation in the 1980s, but honesty and integrity should not need to be regulated.
Ms Ferguson writes of the victims as well as the villains. I want to see appropriate redress for the victims. I want to see the regulatory authorities step up to the mark, to ensure that this doesn’t happen again.
And, surely, the financial institutions need training in ethics and integrity.
Ms Ferguson writes that ‘Hayne’s report did contain many powerful recommendations that will improve the system if they are properly implemented.’ I certainly hope that they are, but I am not confident. After all, the current government resisted holding the royal commission for a long time.
‘Irresponsible lending has played a massive role in the property bubble in Australian cities and in the country’s addiction to debt, putting the economy in a precarious situation should there be a sudden downturn when the time comes for interest rates to rise.’
A case study for executives in worst practice management, an eye-opening sobering read for all of us.
I’m so glad I decided to read this in depth analysis of the Banking Industry and its Regulators which spans “four decades of misconduct, malpractice and misinformation”. Adele Ferguson has been fearless in reporting the evolution of banking and how processes introduced by the banks and associated insurance and superannuation companies shifted priorities from customers to shareholders and employees including banking executives. The tragic stories of a fraction of those who have been wounded or even destroyed in the wake of unfair and unethical practises reveals the human face of a virtually unregulated industry. Thanks to Adele and other fearless whistle blowers (and some politicians willing to stand up for the right thing) the Royal Commission into Banking finally received the green light from politicians in power to take a critical look at the industry and its regulators and start the healing process- but it seems we still have a way to go. I for one have reevaluated my financial position as a ‘disengaged’ retiree receiving superannuation and will be making some changes. An engaging and rather scary read which I highly recommend!