Commonwealth Bank of Australia (CBA) today announced The Colonial Mutual Life Assurance Society (CMLA) (CommInsure), a subsidiary of the Commonwealth Bank, was this morning served by the Commonwealth Director of Public Prosecutions in relation to criminal proceedings against CMLA for 87 alleged contraventions of the anti-hawking provisions of the Corporations Act 2001 (Cth).
The alleged contraventions relate to telephone sales of Simple Life insurance products by CMLA in the period 7 October 2014 to 16 December 2014, a practice that ceased at the end of 2014. These matters had been the subject of an investigation by the Australian Securities and Investments Commission (ASIC). CMLA reported breaches of anti-hawking provisions to ASIC.
CBA and CommInsure are considering the matter and CBA does not intend to comment further at this time.
