• Australian (ASX) Stock Market Forum

Market Won't Punish CBA: Royal Commission Should

Discussion in 'General Chat' started by Garpal Gumnut, Aug 9, 2017.

  1. Value Collector

    Value Collector

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    I am not sure a falling share price would be the best way to put pressure on management.

    I mean you are asking share older to commit Harikari in the hopes that the on lookers get squeamish.

    As I said if you want to put pressure on the management the best way is just to get rid of them through shareholder vote.

    The only real market action that would cause management to get squeamish would be depositors fleeing and the bondholders/debt holders not renewing their debt.
     
  2. Value Collector

    Value Collector

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    I recently sold some long dated puts with a strike of $62. So someone is taking an extreme short position, I am happy to take the other side of their gamble.
     
  3. orr

    orr

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    CBA's 'performance' is at once criminally negligent at best and at the same time the obscenity of profiting from collaboration with the enemy...
    This can go two ways;
    1/ As was the case for Mess Officer Lt Milo Minderbinder when he bombed his own airbase as a contract arrangement with the Germans. He was going to Courts Marshalled until he opened his books and showed the huge profit he had made for M&M Enterprises and everybody had a share... Natley was unfortunately killed but his parents were rich, so they understood.

    2/ Narev and co collaborators should be off to one of our gulags for the rest of their very short natural lives... or simply hanged as traitors.

    Was there anything Joe Heller didn't for see?
     
  4. DB008

    DB008

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    Nothing will happen. Life will go on. Hence why l am going long on the crypto-currencies.


    HSBC got a slap on the wrist, UK chancellor and a British banking regulator warned of ‘global financial disaster’ if bank were prosecuted, House report says


    HSBC pays record $1.9bn fine to settle US
    money-laundering accusations

    HSBC was guilty of a "blatant failure" to implement anti-money laundering controls and wilfully flouted US sanctions, American prosecutors said, as the bank was forced to pay a record $1.9bn (£1.2bn) to settle allegations it allowed terrorists to move money around the financial system.

    Hours after the bank's chief executive, Stuart Gulliver, said he was "profoundly sorry" for the failures, assistant attorney general Lanny Breuer told a press conference in New York that Mexican drug traffickers deposited hundreds of thousands of dollars each day in HSBC accounts. At least $881m in drug trafficking money was laundered throughout the bank's accounts.

    "HSBC is being held accountable for stunning failures of oversight – and worse," said Breuer, "that led the bank to permit narcotics traffickers and others to launder hundreds of millions of dollars through HSBC subsidiaries and to facilitate hundreds of millions more in transactions with sanctioned countries."

    https://www.theguardian.com/business/2012/dec/11/hsbc-bank-us-money-laundering
     
  5. basilio

    basilio

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    Nice find DB. Makes CBA look like slightly soiled angels...

    So I guess that with the HSBC precedent CBA can try to run similar arguments about being "too big to fail" and pleading sorry..
     
  6. Smurf1976

    Smurf1976

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    It won't likely be in a manner visible to the public as such but politics will likely play a factor in this.

    No way is government going to kick CBA hard enough that they actually go broke. Nor are they likely to do it hard enough that the bank is seen by financial markets as a high enough risk to warrant jacking up funding costs. If there's one sure way to lose votes it's to be seen as the cause of borrowers paying higher interest rates. But they probably don't want to be seen as being too soft either.

    That said, it could well end up creating an untenable position for those who don't want a Royal Commission into banking more generally and that's where the bigger risk arises so far as share prices are concerned. I have absolutely no proof but it would seem rather odd if the only thing that any bank has done wrong just happened to be the thing CBA has been caught out on. :2twocents
     
  7. Darc Knight

    Darc Knight

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    Great thread GG. I sat there listening to the CEO (whoever it was) of CBA talking to Ross Greenwood explaining what a great Australian the CBA was rather than show any responsibility etc. Next day they, the CBA, released that ad campaign telling us what great people they are rather than accepting any responsibility.
    Apparently 'crooks' would walk into a Branch and deposit $9,990 from a backpack, then go to another Teller and deposit another $9,990 so as to not trigger compulsory reporting. Culture dictated Tellers turn a blind eye, according to the same radio station.

    Then theres the fact that they were informed by Authorities that 'crooks' were using the loopholes.

    Absolutely disgraceful CBA. Sic em ASIC!!!!
     
    No Trust likes this.
  8. No Trust

    No Trust

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    Look at the recent Middle Eastern drug raids in Sydney, all the money was laundered through CBA branches... Looks like the bank of choice for scumbags...
     
  9. Tisme

    Tisme Apathetic at Best

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    The noise around Canberra regarding the fiduciary breach of the CBA is deafening. To say both majors are taking this seriously is an understatement .

    Four pillars implies a high level of corporate responsibility, especially when the Future Fund invest public servant's money heavily in them, by various means.
     
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