PHOTO FILE: The logo for the Commonwealth Bank in Australia acknowledges its head office in central Sydney, Australia, October 12, 2017. REUTERS / David Gray / File Photo
(Reuters) – Bank Bank of Australia insurance cover (CBA.AXhe pleaded guilty to 87 breaches of legal accounts which prohibited sales staff from making unsolicited calls for sale of financial products, which the country's corporate regulator said on Tuesday.
The Australian Securities and Investments Commission (ASIC) put the CommInsure unit of the CBA, the nation's largest lender, into breaking “anti-hawk” law in October, claiming it was selling life insurance policies named 'Simple Life'; on unsolicited telephone calls between October and December 2014.
ASIC said that CommInsure sold life insurance policies through a telemarketing firm, Aegon Insights Australia, by providing Aegon with customer contact details from the current CBA customer database.
He said the matter was being prosecuted by the Commonwealth Director of Public Prosecutions and later CommInsure would be sentenced.
The CBA acknowledged in a statement that CommInsure pleaded guilty to the 87 alleged breaches and said penalties would be determined on 28 November.
Australian “Big Four” banks have been increasingly audited following a powerful inquiry backed by government last year which revealed widespread misconduct in the financial sector.
Reporting by Shriya Ramakrishnan in Bengaluru; Edited by Clarence Fernandez and Muralikumar Anantharaman
(TTTranslate tags) US (t) CBA (t) INSURANCE (t) LAW (t) Life and Health Insurance (TRBC) (t) Asia / Pacific (t) Australia (t) Insurance News (t) Company ( (T) Judicial Process / Court Cases / Court Decisions (t) t