ANZ sets up resolution program, to submit remediation plan

ANZ could spend approximately A$150m on implementing the remediation plan.

The Australia and New Zealand Banking Group (ANZ) has established an ASIC Matters Resolution Program and will submit a remediation plan to authorities following penalties that cost the bank A$240m in penalties.

The Australian bank has agreed to pay the penalties following regulatory investigations which found that it reported incorrect bond trading data to the government, and engaged in misconduct that affected 65,000 customers, according to the Australian Securities and Investment Commission (ASIC).

The ASIC Matters Resolution Program is expected to deliver improvements across a range of areas, including ANZ’s Online Saver product, hardship processes, and treatment of deceased estates, ANZ said in a separate statement published on 15 September 2025.

Other areas covered by the program include breach reporting, event management, and customer remediation and complaints.

Separately, ANZ also confirmed that it will submit a Root Cause Remediation Plan (RCRP) to the Australian Prudential Regulation Authority (APRA) on 30 September 2025 as required by the court.

ANZ expects to spend approximately A$150m on implementing the plan required under RCRP in FY2026. This will be funded by de-prioritising other initiatives, the bank said.

ANZ appointed Promontory as an independent expert to review and report the adequacy of the ASIC Matters Resolution Program. Promontory will also provide independent assurance of the bank’s progress against the RCRP. Updates will be available on the ANZ website.

Penalties
ANZ entered an agreement with ASIC to pay the A$240m, subject to Federal Court approval, to resolve five matters within its Australian Markets and Australian Retail businesses that were subject to separate regulatory investigations.

This includes an A$85m fine due to its role as duration manager in the execution of a 2023 issuance of 10-year treasury bonds by the government.

Meanwhile, A$40m is for submitting inaccurate monthly secondary bond turnover data to the Australian Office of Financial Management (AOFM) for an almost two-year period.

ANZ has admitted to “making a false or misleading annual attestation to the AOFM in relation to that data and failing to lodge a report with ASIC in respect of those inaccuracies.”

In a statement, ANZ chairman Paul O’Sullivan apologized on behalf of ANZ for the mistakes which he said “have had a significant impact on customers.”

“On behalf of ANZ, I apologise and assure our customers we have taken the necessary action, including holding relevant executives accountable,” O’Sullivan said.

“Whilst ASIC has not alleged that ANZ engaged in market manipulation, it’s clear we have not met the standards expected of us. We have apologised to the AOFM for the inadequate communication on this transaction and offered to pay the AOFM the revenue ANZ earned as duration manager,” he added.

ANZ CEO Nuno Matos, who took over the helm just this year, said that the failings outline reinforce the case for change.

“It is my expectation that we see measurable improvements across the bank to better protect and care for our customers and to create a more sustainable business,” Matos said.