CBA legal settlement

CBA has agreed to pay $25 million to settle legal action brought against the bank by the corporate regulator over bank bill swap rates.

The Commonwealth Bank has reached an in-principle settlement with ASIC under which it will acknowledge attempting “to engage in unconscionable conduct” and that it could not adequately monitor trading and communications of staff. The Federal Court must approve a settlement that will also mean CBA pays a $5 million penalty, $15 million to a financial consumer protection fund, and $5 million of ASIC’s costs.