Lianne Dalziel
Commerce Spokesperson

10 July 2009 Media Statement

ING still has time to be a responsible corporate citizen

Bank and fund manager ING still has time to do what is right for angry investors with money in two of its frozen funds, Labour commerce spokesperson Lianne Dalziel said today.

“ING has set next Monday as a deadline for investors with money caught up in the frozen funds to sign up to a partial compensation deal,” Lianne Dalziel said.

“The fish-hook in the deal is investors are being forced to sign away their right to take further legal action against ING, which is still being investigated by the Commerce Commission.

“The obligation is now on ING to be a responsible corporate citizen and do what is right for its customers, and drop the condition cutting off the ability to take legal action as far as it relates to the Commerce Commission investigation and any subsequent proceedings.

“Over half a billion dollars is reported to be stranded in the funds, a lot of it is the life savings of elderly people who are both angry and confused at the way they’re being treated.”

Lianne Dalziel says it’s not fair that people have to take their chances on accepting a deal that would prevent them benefiting from any action that could follow a finding that ING had breached its statutory obligations.

“If ING has clean hands then it will have nothing to lose from this approach, because they will be confident that they will be cleared at the end of the investigation,” Lianne Dalziel said. If not, that begs the questions, why is the partial compensation offer to its investors so tightly formulated and why should it be protected from legal action?

"The ANZ Bank has already agreed to allow claims lodged with the Banking Ombudsmen by the end of this month to stand, despite the terms of the release from liability in the ING offer. ING should now do the same with respect to the Commerce Commission's investigation.

“If ING refuses to clarify the terms of the deal by 5pm Monday 13th July, when the offer closes, I will begin drafting a private member’s bill allowing investors to gain the benefit of any legal action or settlement arising if the Commerce Commission finds any wrongdoing.

"It’s disappointing the government hasn’t taken this step, but I’m sure every MP who has received a letter from constituents caught in this trap of not knowing what to do will be more than willing to support this initiative.

“Why should people give up their right to justice?" Lianne Dalziel said.

ENDS

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