Article: CBA, ANZ to Settle 2016 Lawsuit Involving BBSW Manipulation

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CBA, ANZ to Settle 2016 Lawsuit Involving BBSW Manipulation

Editors, Regulation Asia, 23 March 2021

The case was initially launched by two US hedge funds and a US-based derivatives trader, alleging they suffered losses due to bank manipulation of the BBSW.

CBA (Commonwealth Bank of Australia) and ANZ Bank have separately issued statements saying they have reached an agreement to settle a class action brought against them in the US in 2016 involving the trading of certain BBSW-based products. Continue reading “Article: CBA, ANZ to Settle 2016 Lawsuit Involving BBSW Manipulation”

Article: Australia’s banking regulator ends Westpac money laundering probe

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Australia’s banking regulator ends Westpac money laundering probe

Reuters Staff, 12 March 2021

(Reuters) – Australia’s banking regulator said on Friday it had closed the investigation against Westpac Banking Corp for possible breaches of anti-money laundering and counter-terrorism laws.

The bank was first accused of breaching the laws in 2019 by the country’s financial crime watchdog AUSTRAC, which led to parallel probes by corporate regulator ASIC and banking regulator Australian Prudential Regulation Authority (APRA).

In September last year, Westpac was forced to agree to a record A$1.3 billion ($1.01 billion) payment to settle AUSTRAC’s claims.

APRA said on Friday it had closed its investigation after considering the results of the probe by ASIC, which was closed in December last year.

“Although the investigation has not found evidence of breaches … APRA remains determined to ensure Westpac rectifies its risk governance weaknesses effectively and sustainably,” the APRA Deputy Chair John Lonsdale said.

In a separate statement, Westpac acknowledged APRA’s decision to end the probe.

($1 = 1.2844 Australian dollars)

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Article: Aussie Bank Westpac Inks $25M Deal In Rate-Rigging Suit

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Aussie Bank Westpac Inks $25M Deal In Rate-Rigging Suit

Caleb Drickey, 02 March 2021

Australian bank Westpac has agreed to a $25 million deal settling claims that it conspired with a cabal of banking institutions to rig the price of derivatives based on an Australian foreign exchange benchmark.

Tuesday’s proposed deal would also compel Westpac, which denied all illegal conduct or wrongdoing, to turn over information related to the alleged price-fixing conspiracy. This would, according to the investors, strengthen cases against Westpac’s co-defendants and lead to similarly-structured deals with the accused conspirators.

In a memorandum, representatives for the proposed class expressed confidence that the newly announced deal would lead to further victories against defendant banks. Continue reading “Article: Aussie Bank Westpac Inks $25M Deal In Rate-Rigging Suit”

Article: Caught in a bear trap: How ‘short and distort’ attacks are costing Australian investors billions

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Caught in a bear trap: How ‘short and distort’ attacks are costing Australian investors billions

Adele Ferguson

Sydney Morning Herald,

Australia has become a paradise for a new, aggressive form of short selling. And regulators’ failure to act is costing investors billions.

Dubbed the “short and distort” gang, a group of largely foreign-based research houses issue highly damaging reports, designed to cause maximum damage to the companies they target.

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