Craig Isherwood‚ National Secretary
PO Box 376‚ COBURG‚ VIC 3058
Phone: 1800 636 432
Email: cec@cecaust.com.au
Website: http://www.cecaust.com.au
The banking royal commission is almost complete, and despite having barely touched the sides it has exposed that the banks previously touted as the best in the world, and wonderfully regulated, are in fact vast criminal enterprises which make their enormous profits from defrauding and gouging their customers.
So what do the banks, the regulators, and the officials in the Morrison government who have been so badly exposed by this process intend to do about it?
Effectively … NOTHING!
The Australian people must not let them get away with this! Contact your MPs and Senators to demand they do their job and insist on the government committing to real change from this royal commission.
Here’s the response so far:
They attacked the suggestion of structural separation in particular: “NAB has warned of higher costs for financial services companies if Hayne was to proceed with a recommendation for structural separation…. Westpac, one of the few banks to push ahead with the vertically integrated model in which banks offer transactional and investment products, argued that conflicts occur everywhere and do not ‘arise from the structural features of a business’.” Westpac’s claim is such a blatant lie it’s laughable: if the banks weren’t integrated conglomerates of multiple financial services, there would be no profit for them in referring their customers to other businesses, and therefore no conflict of interest—the structure is the sole reason for the conflict of interests!
The chronology of these responses is important. APRA and the banks made their submissions by the 26 October deadline; the government reappointed Wayne Byres on 5 November. It’s a fair bet that the banks cc’d their submissions to the government to make clear they want business as usual, or found some other way to convey their wishes, and the government obliged by reappointing their favourite regulator Byres.
Fire up!
Now is the time to put the onus on your MP and Senators and demand to know, “What are you going to do about it?” Virtually all of the independents and minor parties on the cross-bench, and many back benchers in the Coalition and Labor Party, genuinely want to see financial reform and support policies like breaking up the banks.
But at the top of the major parties the banks exercise a huge amount of influence. The leaders of the parties are also influenced by the bureaucratic entities such as Treasury and APRA, which are completely captured by the banks through the infamous “revolving door” by which bankers end up running these departments, and departments officials end up with well-paying bank jobs.
The public must make it clear to MPs that business as usual will not be tolerated. This will give genuine MPs the backing they need to take on their party leaders and demand real change, including:
Contact your MP today! You can find the contact details for your MP and Senators at this link: https://www.aph.gov.au/Senators_and_Members
Click here to order a free copy of the CEC’s new banking handbook, The Next Financial Crash is Certain! End the BoE-BIS-APRA Bankers’ Dictatorship: Time for Glass-Steagall Banking Separation and a National Bank.