Payout plan for victims
ONE of the nation’s largest financial institutions says there should be a compensation scheme for victims who have fallen foul of financial advisers but have “slipped through the cracks” in receiving damages.
AMP boss Craig Meller made the comment while giving evidence to a long-running Senate inquiry scrutinising financial advice after a string of scandals at banks and institutions that resulted in thou- sands of mum and dad investors losing millions of dollars over recent years.
He said a minimum requirement could be put in place for institutions to pay for a compensation scheme, however, given that AMP, for example, is self-insured for such events, he questioned who should pay for it.
AMP sacked 17 staff in the past five years over dodgy advice to customers, he said.