Banking royal commission interim report released; blames greed for misconduct #auspol More Here;

The banking and financial services royal commission releases its interim report, finding that greed and a focus on sales and profit has led to most of the bad behaviour it has investigated.

In the executive summary of the report, Commissioner Kenneth Hayne noted that the commission had exposed conduct by financial services firms that had attracted public condemnation.

Commissioner Hayne said the key questions the commission had to answer were why and how to stop it happening again.

He added that, in many cases, the answer to the first question was obvious.

“Too often, the answer seems to be greed β€” the pursuit of short-term profit at the expense of basic standards of honesty,” he wrote.

“How else is charging continuing advice fees to the dead to be explained?”

Commissioner Hayne observed that from the executive suite to the front line, staff performance was measured and rewarded based on profit and sales.

“Selling became their focus of attention. Too often it became the sole focus of attention,” he noted.

“Products and services multiplied. Banks searched for their ‘share of the customer’s wallet’.”

However, the commissioner does not sheet home blame solely to the financial institutions, with the regulators also failing to check their greed.

Source: Banking royal commission interim report released; blames greed for misconduct – ABC News (Australian Broadcasting Corporation)