Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Commerce Commission delays court filings in swaps case

Commerce Commission delays court filings in interest rates swap case

April 2 (BusinessDesk) - The Commerce Commission has pushed out its deadline to file proceedings against three Australian-owned banks over their sale of interest rate swap contracts to farmers, saying it’s looking at new information.

The regulator had previously expected to file proceedings against ASB Bank, ANZ Bank New Zealand and Westpac New Zealand by the end of March, citing breaches of the Fair Trading Act, but now anticipates making another announcement in the middle of the year, it said in a statement. ASB is owned by Commonwealth Bank of Australia.

The commission came across new information after interviewing current and former bank staff, and will continue to hold discussions with the lenders about the information they hold and any possible resolution of the regulator’s concerns.

“This is a particularly complex case where different facts and circumstances apply to each of the three banks involved,” the commission said. “This complexity along with the new information that has been obtained meant that the original March timeframe was no longer realistic.”

Swaps allow clients to manage the interest rate exposure on their borrowings and are typically marketed to large corporations and institutions. However, from 200,5 banks began marketing them to their rural and commercial clients.

The commission began its probe in August 2012 and has received more than 140 complaints since concerns over the way the financial derivatives were sold first aired in the media.

Farmer lobby Federated Farmers was among groups seeking a review by the regulator, saying the instruments were mostly sold to its members between 2007 and 2009, with concerns about them only surfacing in the wake of the global financial crisis.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

OceanaGold: Man Killed In Waihi Mine Accident

A 29-year-old man had died following a work place accident at OceanaGold mine, Waihi last night. The man was killed after the front end loader he was in rolled down a slope. The accident happened at approximately 6.30pm on Thursday night. More>>

ALSO:

Constructing Consent: Annual Housing Consents Highest In Over A Decade

More than 29,000 new homes gained building consent in the year to June 2016, up 16 percent from the previous June year, Statistics New Zealand said today. More>>

ALSO:

War Against Weevil For Future Peas: “No Peas, No Weevil” Ban Now In Place In Wairarapa

The Ministry for Primary Industries (MPI) has today placed a ban on growing peas within a specified area and placed controls on moving pea material (seed and untreated pea straw) within, in and out of this area for the next 2 years. More>>

ALSO:

Wood Producers: Crisis In New Zealand Log Supply

New Zealand wood processing leaders held a hui with senior government officials and political leaders in Whangarei yesterday to assess the acute log supply shortage to local mills in Northland. More>>

Consents And Taxes: Trustpower 'Very Disappointed' With Judgement

Trustpower is "very disappointed" with a Supreme Court ruling dismissing its bid to claim tax deductions on $17.7 million of project costs in a case closely watched by large-scale infrastructure developers. More>>

ALSO:

Fruitful Endeavours: Kiwifruit Exports Reach Record Levels

In June 2016, kiwifruit exports rose $105 million (47 percent) from June 2015 to reach $331 million, Statistics New Zealand said today. Overall, goods exports rose $109 million (2.6 percent) in June 2016 (to $4.3 billion). More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news