AMP’s annual general meeting, to be held at the Grand Hyatt Melbourne at 11am this morning, promises to be a fiery affair.
The company is reeling from revelations at the royal commission that it misled ASIC as many as 20 times over the charging of ‘fees-for-no-service’ (AMP disputes the number, putting it at 12).
Counsel assisting Rowena Orr said on Friday, 27 April it was open for commissioner Kenneth Hayne to find AMP had breached the law by representing a Clayton Utz report to ASIC as ‘independent’ – something AMP “strenuously denied” in its submission on Friday, 4 May.
AMP chief executive Craig Meller resigned on Friday, 20 April, bringing forward his previously announced exit at the end of 2018.
AMP chair Catherine Brenner resigned on Monday, 30 April and on the same day general counsel Brian Salter was sacked.
Mr Salter has denied any misconduct relating to the Clayton Utz report and is reportedly exploring his legal options with regards to his forfeited remuneration.
The company announced the appointment of former CBA chief executive David Murray as its new chairman on Friday, 4 May.
Mr Murray will begin his role after today’s AGM “on or before” 1 July.
An AMP spokesperson told InvestorDaily Mr Murray does not intend to attend today’s AGM.
On Tuesday, 8 May AMP announced the departure of three independent directors.
Vanessa Wallace and Holly Kramer resigned their positions on the AMP board after it became clear they were unlikely to be re-elected at today’s AGM.
Patty Akopiantz, who is the longest-serving director on the board and also the chair of AMP Capital, will leave AMP at the end of the year.
AMP will present resolutions about the election of Andrew Harmos as a director of AMP, as well as the adoption of the company’s remuneration report.
The Australian Shareholders Association and the Australian Council of Superannuation Investors are recommending their members vote against the AMP remuneration report.
The Financial Sector Union will represent AMP staff at the meeting, with AXA staff member Bernie Milanese and FSU national assistant secretary Nathan Rees set to ask how errors like ‘fees-for-no-service’ were allowed to continue for so long.
“The failures identified by the Royal Commission are largely attributable to a failure of culture – reflected in the prioritisation of incentive and commission-based payments over salaries, cutting staff who perform compliance and administrative functions, the undervaluing of compliance, and the focus on revenue over service,” Mr Rees said.
