Westpac Penalised $113 Million for Widespread Compliance Failures Affecting Over 70,000 Customers
Company: Westpac Banking Corporation
Summary
In April 2022, the Federal Court ordered Westpac and related entities to pay A$113 million across six ASIC proceedings involving widespread compliance failures. ASIC said more than 70,000 customers were affected over approximately 13 years. The misconduct included charging more than 11,800 deceased customers A$10.9 million in advice fees, selling duplicate insurance policies, inadequate fee disclosure, keeping deregistered-company accounts open, selling debts with incorrect interest rates and charging prohibited commissions through superannuation insurance premiums. Westpac admitted the allegations and agreed to remediate more than A$80 million to customers. Source: Australian Securities and Investments Commission https://asic.gov.au/about-asic/news-centre/find-a-media-release/2022-releases/22-097mr-westpac-penalised-113-million-after-multiple-asic-legal-actions/