Speaking to ifa, a spokesperson for the senator said a draft of the bill will hopefully be circulated among Mr O’Sullivan’s fellow senators by the end of the week before being introduced to Parliament.
The bill is intended to homogenise a number of bills calling for a commission intothe bankng sector already in circulation, the spokesperson said, and is expected to receive the support of senators from both Labor and the Greens.
“Several MPs are considering their options regarding this bill,” the spokesperson said.
The spokesperson said Mr O’Sullivan made the decision to introduce the bill following the support Parliament has shown for Liberal backbencher Dean Smith’s bill to legalise same-sex marriage.
“The introduction of Dean Smith’s bill has presented us with an opportunity for backbenchers to introduce to Parliament an issue that our office and the community see as being important,” the spokesperson said.
“We’ve been working on a banking commission for a long time, it’s an issue that’s repeatedly come up.”
Correction: A previous version of this article mistakenly referred to Mr O’Sullivan’s proposal as supporting a “royal commission”. It has subsequently been amended to reflect that the senator is proposing a “commision of inquiry”.
I now hope this happens. We may finally get the opportunity to request some things are investigated as part of the Royal Commission. For example.
The financial relationships between the FPA, AFA and the banks.
The collusion of the FSC, banks, insurers and FPA, AFA around the LIF.
Collusion on price increases by FSC members.
Most of us could add many things to this list.
This is not the only way FPA tarnishes the CFP brand. The FPA’s stubborn resistance to requiring grandfathered CFPs to ever complete the CFP education requirements drags all CFPs down, and undermines the FPA’s credibility on any lobbying they do in relation to education standards.
Perhaps it’s about time responsibility for CFP was taken away from FPA and given to a more credible and less conflicted organisation.
My concern with all of this is that the problems that exist with the financial services industry are very well understood – what is not needed is yet another inquiry and more futile regulation – if ASIC was properly funded and could actually enforce the laws that are in place today much of the misconduct that currently occurs would disappear – moreover, if the PI insurance system was reformed and the Australian Financial Complaints Authority was put in place – people who have been badly treated would have an effective means to obtain compensation – instead, it now seem inevitable that there will be years of stagnation whilst the Royal Commission takes its course.
A question that will need to be asked is the relationship between the FPA and the big four Banks. With millions being paid in the form of hush money via the professional partnership program “to have key access to executives within the FPA to help shape the future of the profession”” questions need to be answered just how this relationship is influencing advice…In the words of the Senator Hundreds of Australians have been victims of poor advice from the large banks… therefore we need to get to the bottom of the relationship between the FPA and the Banks. The punishment of requiring Bank Advisers to join the FPA in return for buying their silence needs to be dragged out into the open. Just why is the FPA jumping into bed with the Banks. Why are they tarnishing the CFP brand with this relationship?
Why would the Banks need the ear of the FPA when they could approach Treasury directly? Why doesn’t the FPA separately disclose these hidden payments on their balance sheet? Are they ashamed? It’s all a bit smelly. I have no problems with a Bank being a sponsor of an FPA event or Bank planners being members. But to get these payments direct from product providers is just too smelly. Just who are they representing here, consumers ? , Advisers ? it seems like it’s the Banks ?
Did the FPA support the definition of independence because the banks wanted that? It would make sense.