AMP has maintained it didn’t fail in its obligations to disclose information regarding fees for no service and will defend against claims made in a shareholder class action that it had.
In a statement, AMP announced it has lodged its defence to a shareholder class action led by Quinn Emanuel Urquhart & Sullivan, which argues the company “should have disclosed to the market information about the issues highlighted during AMP’s appearance at the royal commission hearings in April 2018”.
“AMP confirms it will vigorously defend this and all similar proceedings,” AMP said.
“AMP denies the plaintiff’s allegations that it had information that was required to be disclosed to the market during the relevant period (May 2012 to April 2018) regarding the practice of charging advice fees for no service related to the 90-day exception and ringfencing, and AMP’s interactions with ASIC (including in respect of the Clayton Utz report).”
The company said none of the information it had regarding any of the issues brought up by the royal commission were material to AMP’s shareprice, noting the fees for no service affected less than 4,000 customers and accounted for only $600,000, its misleading statements to ASIC didn’t mislead the regulator in any material way regarding fees for no service, and that ASIC was aware of the relationship between AMP and Clayton Utz.
“Further, Clayton Utz did not make any changes to the report as a result of communications with AMP which Clayton Utz did not agree with, and Clayton Utz carefully verified the accuracy of the statements in the report,” the company said.
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