Australian Securities and Investments Commission chairman Jeffery Lucy announced that ASIC has accepted an enforceable undertaking from National Australia Bank.
The undertaking requires the National to improve key systems and controls under its Australian financial services licence (AFSL).
As part of the undertaking the National will prepare a series of reports which will be scrutinised by independent auditors; these reports and the opinions of the auditors will then be made available to ASIC who will then monitor the National’s compliance with its obligations under the Corporations Act and its AFSL.
This process has been designed specifically to ensure the National properly identifies records and escalates to ASIC breaches of its AFSL; has adequate procedures to properly select, appoint, monitor and remove responsible officers and has adequate procedures to properly recruit, train, monitor and supervise its representatives.
These reports will identify improvements to be made on the National’s behalf to comply with its AFSL.
