Commonwealth Bank boss Ian Narev has apologised to customers hurt by misconduct in its financial planning business, but critics have hit out at the bank's latest review into the maligned division.
Mr Narev faced the media on Thursday to deliver the much-anticipated mea culpa, a full week after the release of a damning Senate report into the scandal.
"To all the customers who received poor advice I apologise unreservedly," he told reporters in Sydney.
"We are truly sorry and we acknowledge the financial hardship that you suffered as a result of the poor advice."
The Senate report blasted CBA and the corporate regulator over their response, or lack thereof, to fraud and misconduct by some of the bank's financial planners.
That included cases where customers who lost large amounts of their life savings after being switched into high risk investment products without their consent and instances of financial planners forging client signatures to allow profit-producing product switches.
In response, Mr Narev has announced review process covering a decade of activities within its financial planning businesses, from 2003 to 2012.
Under that process, customers will be able to request a review of their case from the bank in the first instance, with the option of a further review from an independent panel appointed by the bank.
CBA has already paid around $52 million in compensation to 1,100 people as a result of scandal, but some reports suggest the number affected may be as high as 12,000.
However, Mr Narev said any further money to be paid out would be "inconsequential" for shareholders in the $130 billion banking giant, which last year posted a $7.8 billion profit.
And investors seemed unconcerned by the developments, with CBA shares up 63 cents to $81.55.
But critics say the bank's latest review doesn't go far enough.
Former Labor senator Mark Bishop, who chaired the Senate inquiry and wants a royal commission into the matter, says the new compensation review doesn't differ much from existing arrangements.
"I welcome the apology of Mr Narev, that is a welcome development, but overall what we have on the table is marginal change at best," he told the ABC.
"The issues of specialist team, a further review, and acceptance by the Commonwealth Bank of an independent review decision, has been on the table and has been in place for the last three or four years."
And law firm Maurice Blackburn, which has represented customers hit by bad advice from CBA planners, questioned the appointment process for the bank's independent panel and customer advocates.
"If it's the Commonwealth Bank that appoints them, then that's not independent," Maurice Blackburn partner John Berrill said.
But government figures backed the review, including Federal Treasurer Joe Hockey, whose mother-in-law was among those hurt by the scandal.
"You've got to have a plan to ensure that people are given appropriate compensation. They're starting to do that but there's obviously a way to go," he said.
Prime Minister Tony Abbott played down the prospect of a royal commission or other such inquiry into the financial planning industry.
"I don't want to overdo the reviews because in the end what people expect from government is appropriate action not endless study, particularly studies which don't necessarily lead to outcomes," he said.
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