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NAB boss ‘ashamed’ of conduct, admits RC error

— 1 minute read

NAB chief executive Andrew Thorburn has admitted he is “ashamed” of the bank’s conduct, and has changed his view around the need for a banking royal commission.

Speaking at the parliamentary house committee inquiry into the major banks, committee chair Tim Wilson asked Mr Thorburn whether he was ashamed at some of NAB’s conduct as revealed in the Hayne commission.

“Absolutely. Yes, absolutely,” Mr Thorburn responded.

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Further, committee member Matt Thistlethwaite noted to Mr Thorburn earlier comments he made about the need for a banking royal commission, where he said, “We do not believe a royal commission is necessary because the industry is well governed, well regulated and is actually addressing the issues that need to be addressed”.

Mr Thistlethwaite asked Mr Thorburn whether he still holds that view.

“No, I don't,” Mr Thorburn answered,

“Why?” Mr Thistlethwaite replied.

“Because I got it wrong,” Mr Thorburn said.

Further, Mr Wilson questioned Mr Thorburn on whether NAB has done any analysis of the number of people who have engaged in misconduct to the point of either facing some sort of internal punitive measure and/or termination.

“This last year, we've had over 1,200 people as an example inside the bank that have been really questioned about their adherence to our code of conduct inside the company,” Mr Thorburn said.

“Of those 1,200, they get investigated centrally in all cases. Now these are allegations. But 700 of these had a reduction or some consequences in their variable pay or consequences for themselves.

“And of the 700, over 300 were either terminated or have left as a result of the investigations.

“I think we are doing a lot of these things and we just have to be more vigilant about it so that we have the highest standards and hold our people to account for them.”

More to come.

 

NAB boss ‘ashamed’ of conduct, admits RC error
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Adrian Flores

Adrian Flores

Adrian Flores is a features editor at Momentum Media, focusing mainly on banking, wealth management and financial services. He has also written for Public Accountant, Accountants Daily and The CEO Magazine.

You can contact him on [email protected]

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