ANZ may face legal action on ASIC interest rate

ANZ continues to cooperate with the corporate watchdog's investigation into the alleged ASIC interest rate. But it claimed that it won't supposedly comment on the speculation that it will soon face legal action.

According to SBS, the bank stated that it would not comment on "speculation" that it will be subject to a civil action by the Australian Securities and Investments Commission. The rumors of the legal action were alleged pointing out on the manipulation of the ASIC rate at which the banks lend money to each other.

An announcement is expected within weeks, according to the Australian Financial Review. "In keeping with our longstanding policy, we are unable to comment on ASIC investigations, or on speculation concerning their outcome," ANZ said in a statement.

ASIC acknowledged its investigation into the bank bill swap rate but would not confirm ANZ's involvement. In fact, Matthew Abbott, the spokesman of ASIC already revealed the investigation.

"ASIC has disclosed to various parliamentary committees it is investigating a number of large banks in relation to alleged manipulation of the crucial bank bill swap rate," ASIC spokesman Matthew Abbott stated in a statement on Monday via The Sydney Morning Herald. He added, "This is a major investigation that goes to the heart of trust and confidence in our markets. The investigation is ongoing and ASIC is unable to go into any more detail at this stage."

It has been reported by News.com.au that ASIC has been investigating some major banks over the integrity of their past bank bill swap rate submissions since 2012. UBS, BNP Paribas and Royal Bank of Scotland have already recognized what ASIC referred to as the evidence of conduct seeking to influence the bank bill swap rate.

These international banks also donated a total $2.6 million to independent financial literacy projects. This was after agreeing to enforceable undertakings in relation to potential misconduct.

For now, ANZ still refused to comment on the speculation it is facing due to the investigation conducted for ASIC interest rate. But then ANZ has closed its 36 cent shares, or 1.49 per cent, lower at $x$23. 73.

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ANZ, ANZ news, ANZ bank, ANZ bank to face legal action, ANZ bank to face lawsuit, ASIC, ASIC news, ASIC interest rate, Australian Securities and Investments Commission, Australian Securities and Investments Commission news

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