BOQ under ASIC investigation
(30 June 2009 – Australia) Bank of Queensland has confirmed it is under investigation by ASIC over its connection with the collapse of Storm Financial.
Bank of Queensland (BOQ) released an announcement on the 25th of June indicating it was not under investigation, however has subsequently been notified that it is, in fact, under investigation by ASIC (Australia Securities and Investment Commission).
BOQ now acknowledges that it is indeed under investigation by ASIC.
BOQ has around 319 customers who were associated with Storm with aggregate loans of around $105 million. All loan files are secured by residential property.
While much media attention has been based on margin loans that retail investors have been unable to pay because of misrepresented applications, BOQ maintains that it did not provide margin loans to Storm Financial customers. Instead, the bank provided home equity loans.
While fellow Storm loan provider, CBA, has decided to admit responsibility and avoid the courts, BOQ has stuck by its guns, strongly defending its involvement in the collapse.
BOQ said that there was no evidence of improper or dishonest practices or conduct by the bank in connection with Storm clients and there was no evidence that the bank has engaged in any misleading and deceptive conduct or unconscionable conduct in relation to its lending to Storm clients.
The bank said that to date it has had 15 hardship applications, of which it had approved 14.
BOQ now acknowledges that it is indeed under investigation by ASIC.
BOQ has around 319 customers who were associated with Storm with aggregate loans of around $105 million. All loan files are secured by residential property.
While much media attention has been based on margin loans that retail investors have been unable to pay because of misrepresented applications, BOQ maintains that it did not provide margin loans to Storm Financial customers. Instead, the bank provided home equity loans.
While fellow Storm loan provider, CBA, has decided to admit responsibility and avoid the courts, BOQ has stuck by its guns, strongly defending its involvement in the collapse.
BOQ said that there was no evidence of improper or dishonest practices or conduct by the bank in connection with Storm clients and there was no evidence that the bank has engaged in any misleading and deceptive conduct or unconscionable conduct in relation to its lending to Storm clients.
The bank said that to date it has had 15 hardship applications, of which it had approved 14.
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