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Calls for a Royal Commission into the Banking Sector

The top banking body says a royal commission into the financial industry will damage its reputation

The top banking body says a royal commission into the financial industry will damage its reputation Source: AAP

A royal commission can pursue, and would pursue, systemic issues in an open and public and transparent manner


Calls are increasing for a royal commission into the banking sector following a series of incidents involving Australia's banks.

But Prime Minister Malcolm Turnbull says the Australian Securities and Investments Commission has enough power to keep the industry in check.

The Australian Securities and Investments Commission, or ASIC, has found itself at the centre of calls led by the Labour Party for a royal commission into the nation's banking sector.

Labour is proposing a two-year investigation, costing around 50 million dollars.

It would focus on weeding out illegal and unethical behaviour, the industry's duty of care to customers and what resources the regulators have to deal with illegal activity.

The calls come after a series of scandals in the sector, such as banks offering poor financial advice and imposing fees on customers without cause.

 


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