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Senior Executives Named in Cartel Case

Wednesday 6 June 2018


Penalties 


The Australian Competition and Consumer Commission (ACCC) has announced that legal action will be brought against senior executives of the Deutsche Bank, Citigroup and ANZ.

“These serious charges are the result of an ACCC investigation that has been running for more than two years,” said ACCC Chairman Rod Sims.

According to the ACCC, the senior executives are:

Citigroup

  • John McLean
  • Itay Tuchman
  • Stephen Roberts
 
Deutsche Bank

  • Michael Ormaechea
  • Michael Richardson, formerly of Deutsche Bank; and
 
ANZ 

  • Rick Moscati
In their official statement, the ACCC indicated that this is now being considered a criminal matter before the court, and thus no further comments will be issued.

The Federal Court action should be another wake-up call about the importance of having a strong compliance framework and good compliance training to ensure staff understand their obligations and compliance responsibilities.

Fines for criminal cartel conduct can amount to $10 million, or three times the value of the benefit obtained from the conduct, or 10 per cent of the annual turnover of the preceding 12 months.

The penalty for individuals is $500,000.