Home topics news News News Ombudsman calls for more rigorous examination of CBA/Bankwest Gali Blacher June 26, 2018 Kate Carnell, The Australian Small Business and Family Enterprise Ombudsman, has called for the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry to more rigorously examine a range of ‘unanswered questions’ regarding the Commonwealth Bank of Australia (CBA) treatment of Bankwest loans. “The CBA treatment of Bankwest commercial loans has shocked many people and left them searching for answers despite many inquiries,” Carnell said. “This ultimately was a driver for the Royal Commission. “To finally get closure on this saga will allow bank victims to get on with their lives and for trust in banks to be improved.” Carnell said, “This will require a rigorous public examination of unanswered questions and to put to rest if CBA conduct was appropriate or below customer expectations, or worse. “There are high expectations the Royal Commission will do so but the Commissioner will obviously need sufficient time to examine these complex matters fully.” Carnell said the questions she has from evidence given in Round 3 are: CBA bought Bankwest at a significant discount (0.8 times book value) and knew from the outset that part of the Bankwest loan book would have a higher level of risk than the CBA book. What was CBA senior management’s objective and strategy to manage this from the outset? In the Royal Commission’s Background Paper 13, APRA has made a footnote comment that in limited circumstances,