Wikinews extended invitations by e-mail on March 23 to multiple candidates running in the Texas’ 6th congressional district special election of May 1 to fill a vacancy left upon the death of Republican congressman Ron Wright. Of them, the office of Democrat Daryl Eddings, Sr. agreed to answer some questions by phone March 30 about their campaigns and policies. The following is the interview with Ms Chatham on behalf of Mr Eddings, Sr.
Eddings is a federal law enforcement officer and senior non-commissioned officer in the US military. His experience as operations officer of an aviation unit in the California National Guard includes working in Los Angeles to control riots sparked by the O. J. Simpson murder case and the police handling of Rodney King, working with drug interdiction teams in Panama and Central America and fighting in the Middle East. He is the founder of Operation Battle Buddy, which has under his leadership kept in touch with over 20 thousand veterans and their families. He was born in California, but moved to Midlothian, Texas. He endeavours to bring “good government, not no government”. Campaign manager Faith Chatham spoke to Wikinews on matters ranging from healthcare to housing.
An Inside Elections poll published on March 18 shows Republican candidate Susan Wright, the widow of Ron Wright, is ahead by 21% followed by Democrat Jana Sanchez with 17% and Republican Jake Ellzey with 8% with a 4.6% margin of error among 450 likely voters. The district is considered “lean Republican” by Inside Elections and voted 51% in favour of Donald Trump in last year’s US presidential election. This is down from 54% for Trump in 2016’s presidential election, the same poll stated.
Last week’s police helicopter accident in eastern Slovakia was caused by technical failure and not human error, said the Ministry of Interior of the Slovak Republic on Friday. The statement is based on preliminary flight recorder data analysis. Ministry spokesperson Petar Lazarov confirmed the flight recorder and remains of the helicopter will be sent to the United States for further analysis. Helicopter crash occurred during a training exercise on May 10 shortly before 2:30 PM CEST at Prešov Air Base near Prešov, resulting in deaths of two crewmembers and serious injuries of both pilots.
Slovak police helicopter Bell 429, registration OM-BYM, in August 2015. Image: Puki301.
According to initial reports by the Slovak Police Force, the helicopter spiraled down from a height of about 100 metres and 200 metres away from the point of take-off. Slovak tabloid newspaper Plus Jeden De? wrote that, according to a source from the forensic team that analysed flight recorders data, both rotors failed at the same time.
The accident caused fatal injuries to two Fire and Rescue Corps firefighters, First Lieutenant ((sk))Slovak language: ?nadporu?ík Peter To?or, born 1974, and Lieutenant Colonel ((sk))Slovak language: ?podplukovník Radoslav Lacko, born 1968. According to reports, one died on the site, and one in the Louis Pasteur University Hospital in Košice. “The patient suffered serious head and chest injuries. Our doctors resuscitated him for about 50 minutes. Ultimately, he died of his injuries,” said hospital spokesperson Ivana Stašková. Both firefighters were buried on May 16. The helicopter pilots were hospitalized with serious injuries in the Ján Adam Reiman Teaching Hospital with Polyclinic in Prešov. While one of them was stabilized and conscious already on May 10, suffering from right femoral fracture, right rib and facial bone fracture, the second one is still in serious condition at the Department of Anesthesiology and Intensive Medicine, said hospital spokesperson Renáta Cenková.
The Bell 429 GlobalRanger helicopter, registration OM-BYM, was made in 2014 and commissioned by the Aviation Department of the Ministry of Interior on August 17, 2015. The Aviation Department later commissioned another Bell 429 helicopter, registration OM-BYD. According to Bell Helicopter, the primary purpose of both these helicopters was to be “border protection, search and rescue, natural disaster relief missions and road traffic law enforcement”.
Bell Helicopter reacted on the incident, expressing condolences and willingness to assist with the investigation. Members of the National Council started their late-afternoon session on May 10 with a minute of silence for the victims of the crash. Other government officials expressed their condolences as well, including the President Andrej Kiska, the Prime Minister Robert Fico, and the Mayor of Prešov Andrea Tur?anová.
This accident was not the first Bell 429 helicopter crash in Slovakia. On September 7 of last year, an Air-Transport Europe rescue helicopter crashed near Banská Bystrica, killing all three crewmen and a patient aboard. Investigation is still in progress and no preliminary results are known.
Boris Johnson (left) meets with Ukrainian President Volodymyr Zelenskyy (right) on February 1. Image: President of Ukraine.Kwarteng on January 13, 2021. Image: UK Government.Activists in London on February 12 contrast high energy bills with climate change and profit by fossil fuel corporation Shell plc. Image: User:Alisdare Hickson.Sunak on May 13, 2020. Image: UK Government.
Wikinews received clarification earlier this month from the United Kingdom Department for Business, Energy and Industrial Strategy (BEIS) regarding the government’s response to the cost of living crisis following the Russian invasion of Ukraine.
The UK anticipated Russian action against Ukraine for several months, and has coordinated a response with NATO and the European Union. Many “swift retributive responses including an unprecedented package of sanctions” promised in January were imposed after the Russian invasion began in February.
They now include “financial, trade, aircraft, shipping and immigration sanctions” to urge Russia “to cease actions which destabilise Ukraine, or undermine or threaten the territorial integrity, sovereignty or independence of Ukraine.” Most recently, it includes a commitment made by Business Secretary Kwasi Kwarteng Tuesday to phase out Russian oil and natural gas in the UK by the end of the year.
The announcement came the same day United States President Joe Biden announced a ban on imports of Russian oil, coal and gas.
However, a UK government spokesperson told Wikinews: “We cannot have a cliff-edge where oil and gas are abandoned overnight. Turning off the taps would put energy security, British jobs and industries at risk and we would be even more dependent on foreign imports.”
The European Commission was more cautious, planning to cut Union dependence on Russian imports by two-thirds this year, before ceasing altogether “well before 2030”. But whereas Russia supplies 40% of the EU’s natural gas, much of the UK’s energy is produced domestically.
The spokesperson contrasted the British situation with that of the EU: “Our single largest source of gas is from the UK Continental Shelf and the vast majority of imports come from reliable suppliers such as Norway.
“There are no gas pipelines directly linking the UK with Russia. Imports from Russia made up less than 4% of total UK gas supply in 2021.
“Ministers and officials continue to engage constructively and regularly with energy intensive industries and our priority is to ensure costs are managed and supplies of energy are maintained.”
A government FAQ published February 25 adds the UK has three liquefied natural gas (LNG) terminals, while Germany has none. The fact sheet urged “European countries on the continent reduce their reliance on Russian gas both through alternative supplies, including the global [LNG] market”.
Putin moves to recognise the self-proclaimed Donetsk People’s Republic and Luhansk People’s Republic on February 21, in a prelude to the invasion of Ukraine. Image: Kremlin.
A press release from Tuesday specifically named Vladimir Putin, Russia’s president, and called the invasion “illegal”. The spokesperson said: “We continue to monitor the impacts that Putin’s unprovoked invasion of Ukraine is having on the cost of living in the UK, so we keep our approach under review.”
The release asserted Russian oil “is already being ostracised by the market”. And in any case: “In a competitive global market for oil and petroleum products, demand can be met by alternative suppliers. We will work closely with international partners to ensure alternative supplies of fuel products.”
But high inflation, already associated with the rising cost of petrol, has seen prices rise in all key areas. Before the Russian invasion, the Bank of England forecast inflation to rise to about 7% in spring, from 5.4% last year. And economists cited by The Guardian reportedly project inflation to rise to almost 8% next month.
Consultancy firm The Centre for Economics and Business Research more than halved its growth expectations for 2022 from 4.2% to 1.9% Tuesday. The Institute for Fiscal Studies (IFS) has said the £9 billion package by Chancellor of the Exchequer Rishi Sunak “would now offset only about one fifth of the rise in household energy bills.”
The government spokesperson said: “We recognise the concerns people have about the cost of living, which is why we have set out a generous package of support worth around £21bn including a £150 council tax rebate from April and a further £200 energy bill discount in October – cutting energy bills quickly for the majority of households.”
They added: “We are already providing support to families worth around £20 [billion] this financial year and next, including cutting the Universal Credit taper to make sure work pays, freezing alcohol and fuel duties to keep costs down, and providing £9.1bn to support 27 million households with their energy bills.”
As hinted, all measures were introduced prior to the Russian invasion of Ukraine, which began on February 24.
Sir Keir in June 2017. Image: Chris McAndrew.
On February 3, it was announced those in England in Council Tax bands A-D would get £150 off their council tax payments. It was also announced there would be a £200 discount on all Britons’ energy bills in autumn. The £200 would be repaid automatically over the next five years, which Leader of the Opposition Sir Keir Starmer likened to a loan.
During Prime Minister’s Questions (PMQs) Wednesday, he derided Sunak for proposing “a forced £200 loan for every household paid back in mandatory instalments”.
Prime Minister Boris Johnson defended the government for their £20 billion support package, calling the measures “unprecedented”. He added he plans to set “out an energy independence plan for this country in the course of the next few days to ensure that we undo some of the damage of previous decisions taken”.
Sunak announced changes to Universal Credit and the continued freeze of fuel levies during his autumn budget statement on October 27. The amount withheld workers making above the worker allowance threshold per pound was reduced from 63 pence to 55 pence. It follows the UK government’s cancellation of a Covid-19 uplift of £20 per week to Universal Credit in early October, which cut the income of six million claimants by £1040 per annum.
The fuel duty was frozen twelve years ago and has not been lifted since. It is estimated to save motorists £1900.
The statement also included a “radical simplification” of alcohol duties, reducing the taxable bands from fifteen to six and suspending a planned hike at a £3 billion loss to HM Treasury. This was encouraged by many organisations, including the British Beer and Pub Association.
Even so, the measures have been criticised as too meagre to address the reality of the situation. Ahead of Sunak’s spring statement slated for March 23, Conservative MPs have pressured the Chancellor to consider new measures. A source reportedly told The Guardian officials in HM Treasury are weighing options; publicly, they state “There’s only so much that can be done, and we’ve never seen oil prices where they are now.”
Analysts warned Britons from February 24 household gas and electricity bills could reach £3000 per year. The Office of Gas and Electricity Markets announced it would lift a cap on default energy tariffs by 54% to £1971 from April.
Though oil prices stabilised to below USD120 per barrel Wednesday, Brent Crude briefly reached a 2008 high of $147.50 per barrel and remain substantially higher from before the Russian invasion. To minimise the effect this will have on British consumers, Sir Keir pushed for nuclear power, renewable energy and home insulation at PMQs.
Johnson defended his record on renewables, calling the UK “the Saudi Arabia of wind power”. The UK spokesperson told Wikinews “It’s the right thing to do to move away from dependence on Russian oil and gas across Europe and this means looking at more nuclear and much more use of renewable energy.”
The installation of offshore platform Ravenspurn North by BP in 2009. Image: User:Alnitak3.
However: “Companies and skilled employees right across the UK’s gas sector are working to maximise production through this winter, helped by several small new wells and fields that have come online in recent months and edged production up.” The example Wikinews raised over the Abigail oil field in the North Sea, which was greenlit for development by an Israeli firm on February 2, was not addressed. At the time, the director of the Oil and Gas Authority told Sky News oil and gas will remain a source of British energy for decades.
The government spokesperson continued: “The issues we are facing are a result of high international gas prices rather than supply, and further UK oil and gas licensing is unlikely to have a major impact in the short term.”
The Labour Party has urged a windfall profits tax to be imposed on excess profits made by major fossil fuel companies, including BP and Shell plc. Both companies reported historic profits for 2021 in February. BP saw profits of $12.8 billion from -$5.7 billion in 2020, and Shell $19.3 billion from $4.85 billion in 2020.
Reeves in June 2017. Image: Chris McAndrew.
After BP’s announcement, Shadow Chancellor of the Exchequer Rachel Reeves tweeted “The chancellor’s energy plans last week left families more worried than ever. It’s time for Labour’s plan for a one-off windfall tax on oil and gas producers to cut bills.” However, when pressed at PMQs, Johnson urged a “a sober, responsible approach.”. He said: “The net result of [a windfall tax] would be to see the oil companies put their prices up yet higher, and make it more difficult for them to [divest] from dependence on Russian oil and gas.”
The UK government spokesperson told Wikinews: “A windfall tax could deter £14 billion worth of opportunities awaiting investment, which would risk both security of our energy supply, as well as almost 200,000 jobs that rely on the industry.
“Oil and gas companies in the North Sea are already subject to a tax rate on their profits that is more than double those paid by other businesses. To date, the sector has contributed more than £375 billion in production taxes.
“We keep all taxes under review but we do not comment on speculation about tax changes.
“The UK Government places additional taxes on the extraction of oil and gas, with companies engaged in the production of oil and gas on the UK Continental Shelf subject to headline tax rates on their profits that are currently more than double those paid by other businesses. To date, the sector has paid more than £375 billion in production taxes.”
The government is also criticised for its plan to retrofit homes with poor insulation. In March last year, the government’s flagship green homes grant was scrapped, having only installed 5800 energy efficiency measures.
The government spokesperson responded: “We are investing almost £6.6 billion to support the installation of energy efficiency measures in low energy performance homes including older properties with low income home owners and tenants.
“The Heat and Buildings Strategy set out a comprehensive package of measures we are taking to kickstart the transition to low-carbon heat and build the market for heat pumps. This includes investment in a new £450 [million] Boiler Upgrade Scheme, the £950 [million] Home Upgrade Grant and the £60 [million] Heat Pump Ready research programme.”
On Sunday, a suspected Russian missile strike was carried out on a civilian oil terminal located in Vasilkiv, near Kyiv, Ukraine. The incident was reported by Ukrainian Member of Parliament Anna Purtova. She described this deadly incident as an “environmental catastrophe”. The oil facility was located just 39 kilometers (24 mi) from Kyiv.
Apart from this, Russian troops were spotted in different locations in and around the city of Kharkiv. A gas pipeline was also blown up by Russian troops in Kharkiv yesterday before daybreak. The Governor of Kharkiv Oblast Oleh Synyehubov advised citizens not to go outside and stated “the Russian enemy’s light vehicles have broken into Kharkiv, including the city centre”.
On Saturday, Russian troops conducted a missile strike on a high-rise residential building in Kyiv which injured at least 6 people.
The Kremlin had sent a diplomatic delegation to Belarus, offering talks with Ukraine. The proposal was initially rejected by Ukraine. Ukrainian President Volodymyr Zelensky said Belarus was complicit in the invasion and Ukraine would like to hold talks elsewhere.
Today, Ukraine has accepted the proposal for talks with the Russian Federation on the Belarusian border. The Ukrainian Presidential Office has confirmed the Belarusian President Alexander Lukashenko had called Zelensky earlier Sunday.
The United States and its allies have initiated the transfer of arms and weapons to support Ukraine and imposed numerous sanctions to affect Russia financially. On Saturday, it was announced several Russian banks would be removed from the SWIFT international payment system, resulting in its disconnection from the international financial system. It was also decided to impose ‘restrictive measures’ on the Central Bank of Russia to prevent it from undermining the impact of the sanctions from the West.
The leaders of the European Commission and the United States said in a joint statement they “will hold Russia to account and collectively ensure that this war is a strategic failure for Putin”.
Google and Facebook have barred the Russian state-controlled media outlet RT News from receiving money from advertisements.
The Kremlin said Russian troops were advancing “in all directions” and Putin thanked the Russian Special Forces who were carrying out the operation in Ukraine. Sources also reveal Putin directed his nuclear deterrence forces to stay on high alert, citing “aggressive statements” by NATO and tough financial sanctions from the West and its allies. The Ukrainian presidential advisor, Mykhaylo Podolyak, said over 3,500 Russian troops were killed in action or wounded. Russia has not yet released any casualty figures.
Web.com, a web-hosting and online services company, has released its second quarter financial results and associated statements – and it’s clear that the company has experienced both the ups and downs of executing on its goals.
On the upside, the company achieved an industry-first achievement of securing a non-exclusive license agreement with Hostopia.com Inc. last month. The agreement granted Hostopia rights to two of Web.com’s patents over five years on a non-transferable basis. The specific licensed patents were U.S. Patent numbers 5,680,152 and 6,789,103 and broadly cover methods for website building and web hosting control panels. Importantly for revenues, the license agreement states that Hostopia will pay Web.com a royalty equal to 10% of their gross U.S. retail revenues for five years.
On the downside, the company failed to deliver on the expected and announced acquisition of Houston-based WebSource Media – a business offering “easy and affordable built-to-order websites”. The announced acquisiton was to have added about $9 million in annual revenue to Web.com.
However, according to published reports from Web.com, the company filed to rescind its acquisition of WebSource media just about one month after the announcement. This action was taken after the Federal Trade Commission filed a sealed action in the United States District Court for the Southern District of Texas against WebSource Media, L.L.C. and its members – alleging unfair and deceptive acts and business practices prior to the acquisition.
In a press release issued by Web.com, President and CEO Jeff Stibel discussed the effects of the rescinded acquisition on the second quarter resutls, “Web.com continued to drive subscriber growth across its core website and web services plans by refining our sales and marketing efforts and working closely with strategic distribution partners. While we had unfortunate news about an acquisition we made during the quarter, the company has moved on and is working on further solidifying its position as a leader in the industry.”
On the financial side of the report, Web.com reported that total revenues for the quarter were $12.1 million, down from $12.3 million in the first quarter of 2006. The second quarter marked the last quarter of recognizing Verizon revenues (a deal that was initially cancelled in December 2004 and terminated in the second quarter of 2006).
On the organic customer acquisition side of the equation, the company reported that net subscribers totaled approximately 148,000 for the quarter, down from approximately 149,000 in the first quarter of 2006. The reduction in the second quarter as compared to the first quarter includes the loss of approximately 3,200 Verizon subscribers. Excluding the loss of Verizon subscribers, the company added approximately 1,600 subscribers in the quarter.
Tuesday, March 29, 2005A team of Australian surgeons yesterday reattached both hands and one foot to 10-year-old Perth boy, Terry Vo, after a brick wall which collapsed during a game of basketball fell on him, severing the limbs. The wall gave way while Terry performed a slam-dunk, during a game at a friend’s birthday party.
The boy was today awake and smiling, still in some pain but in good spirits and expected to make a full recovery, according to plastic surgeon, Mr Robert Love.
“What we have is parts that are very much alive so the reattached limbs are certainly pink, well perfused and are indeed moving,” Mr Love told reporters today.
“The fact that he is moving his fingers, and of course when he wakes up he will move both fingers and toes, is not a surprise,” Mr Love had said yesterday.
“The question is more the sensory return that he will get in the hand itself and the fine movements he will have in the fingers and the toes, and that will come with time, hopefully. We will assess that over the next 18 months to two years.
“I’m sure that he’ll enjoy a game of basketball in the future.”
The weight and force of the collapse, and the sharp brick edges, resulted in the three limbs being cut through about 7cm above the wrists and ankle.
Terry’s father Tan said of his only child, the injuries were terrible, “I was scared to look at him, a horrible thing.”
The hands and foot were placed in an ice-filled Esky and rushed to hospital with the boy, where three teams of medical experts were assembled, and he was given a blood transfusion after experiencing massive blood loss. Eight hours of complex micro-surgery on Saturday night were followed by a further two hours of skin grafts yesterday.
“What he will lose because it was such a large zone of traumatised skin and muscle and so on, he will lose some of the skin so he’ll certainly require lots of further surgery regardless of whether the skin survives,” said Mr Love said today.
The boy was kept unconscious under anaesthetic between the two procedures. In an interview yesterday, Mr Love explained why:
“He could have actually been woken up the next day. Because we were intending to take him back to theatre for a second look, to look at the traumatised skin flaps, to close more of his wounds and to do split skin grafting, it was felt the best thing to do would be to keep him stable and to keep him anaesthetised.”
Professor Wayne Morrison, director of the respected Bernard O’Brien Institute of Microsurgery and head of plastic and hand surgery at Melbourne’s St Vincent’s Hospital, said he believed the operation to be a world first.
Sweden’s first royal wedding since 1976 took place Saturday when Crown Princess Victoria, 32, married her long-time boyfriend and former personal trainer, Daniel Westling, 36. The ceremony took place at Stockholm Cathedral.
Over 1,200 guests, including many rulers, politicians, royals and other dignitaries from across the world, attended the wedding, which cost an estimated 20 million Swedish kronor. Victoria wore a wedding dress with five-metre long train designed by Pär Engsheden. She wore the same crown that her mother, Queen Silvia, wore on her wedding day 34 years previously, also on June 19. Victoria’s father, King Carl XVI Gustaf, walked Victoria down the aisle, which was deemed untraditional by many. In Sweden, the bride and groom usually walk down the aisle together, emphasising the country’s views on equality. Victoria met with Daniel half-way to the altar, where they exchanged brief kisses, and, to the sounds of the wedding march, made their way to the the silver altar. She was followed by ten bridesmaids. The couple both had tears in their eyes as they said their vows, and apart from fumbling when they exchanged rings, the ceremony went smoothly.
Following the ceremony, the couple headed a fast-paced procession through central Stockholm on a horse-drawn carriage, flanked by police and security. Up to 500,000 people are thought to have lined the streets. They then boarded the Vasaorden, the same royal barge Victoria’s parents used in their wedding, and traveled through Stockholm’s waters, accompanied by flyover of 18 fighter jets near the end of the procession. A wedding banquet followed in the in the Hall of State of the Royal Palace.
Controversy has surrounded the engagement and wedding between the Crown Princess and Westling, a “commoner”. Victoria met Westling as she was recovering from bulemia in 2002. He owned a chain of gymnasiums and was brought in to help bring Victoria back to full health. Westling was raised in a middle-class family in Ockelbo, in central Sweden. His father managed a social services centre, and his mother worked in a post office. When the relationship was made public, Westling was mocked as an outsider and the king was reportedly horrified at the thought of his daughter marrying a “commoner”, even though he did so when he married Silvia. Last year, Westling underwent transplant surgery for a congenital kidney disorder. The Swedish public have been assured that he will be able to have children and that his illness will not be passed on to his offspring.
Westling underwent years of training to prepare for his new role in the royal family, including lessons in etiquette, elocution, and multi-lingual small talk; and a makeover that saw his hair being cropped short, and his plain-looking glasses and clothes being replaced by designer-wear.
Upon marrying the Crown Princess, Westling took his wife’s ducal title and is granted the style “His Royal Highness”. He is now known as HRH Prince Daniel, Duke of Västergötland. He also has his own coat-of-arms and monogram. When Victoria assumes the throne and becomes Queen, Daniel will not become King, but assume a supportive role, similar to that of Prince Phillip, the husband of the United Kingdom’s Queen Elizabeth II.
A 27-year-old former beauty student from the Gold Coast of Australia faces the death penalty. She was allegedly caught at Bali airport importing marijuana from Australia in October. Appearing before an Indonesian judge after authorities found 4.1kg of high-grade cannabis in her unlocked boarding bag, she could be sentenced to death by firing squad, the maximum penalty for the crime.
With that possibility looming for Ms. Corby, her father journeyed to her side, and an anonymous email petition was distributed around Australia and overseas, calling on the Australian government to ensure that, innocent or guilty, Ms. Corby is returned to Australia to escape execution.
An Australian witness who volunteered information which he says will endanger his own life, has testified that Schapelle Corby was unwittingly caught up in a domestic Australian drug-running operation gone wrong. The man alleged that Australian airport workers had placed the contraband in her luggage after it had been checked-in, with the drugs to have been removed before the luggage left Australia. [1]
Ms. Corby, who says she is innocent of the charges, staggered and paused to vomit while being led through a throng of journalists watching her trial in Jakarta, Indonesia, earlier today.
“I’m really sick,” Ms. Corby told Densbar’s head judge Linton Sirait, who told her to take better care of herself in jail so she would not get diarrhea. “Don’t be stressed,” Judge Sirait added as he adjourned the trial until April 14.
Her sister said a doctor would visit her in prison to assess her condition. Her father, suffering with prostate cancer, said it was difficult to watch his daughter struggling so hard when things were nearing the “nitty-gritty now.”
Wikinews Australia has in-depth coverage of this issue: Schapelle Corby
He added: “The stress and the whole thing and the stomach cramps and the nerves. It’s getting on top of her.”
Australian politicians, noting the public support thrown behind the Gold Coast citizen, are promising to take her case up on several issues with the Indonesian Attorney-General later today. However, Mr. Corby expressed doubts that politicians could work things out: “It depends on what they call justice here [in Indonesia]. It looks a bit fairyland to me.”
“Everything’s reversed here. You’re guilty until you’re proven innocent,” commented Mr. Corby in Indonesia. Indonesian President Susilo Bambang Yudhoyono is said to be monitoring the case to ensure the court hands down a just and fair verdict.
Ian Narev, the CEO of the Commonwealth Bank of Australia, this morning “unreservedly” apologised to clients who lost money in a scandal involving the bank’s financial planning services arm.
Last week, a Senate enquiry found financial advisers from the Commonwealth Bank had made high-risk investments of clients’ money without the clients’ permission, resulting in hundreds of millions of dollars lost. The Senate enquiry called for a Royal Commission into the bank, and the Australian Securities and Investments Commission (ASIC).
Mr Narev stated the bank’s performance in providing financial advice was “unacceptable”, and the bank was launching a scheme to compensate clients who lost money due to the planners’ actions.
In a statement Mr Narev said, “Poor advice provided by some of our advisers between 2003 and 2012 caused financial loss and distress and I am truly sorry for that. […] There have been changes in management, structure and culture. We have also invested in new systems, implemented new processes, enhanced adviser supervision and improved training.”
An investigation by Fairfax Media instigated the Senate inquiry into the Commonwealth Bank’s financial planning division and ASIC.
Whistleblower Jeff Morris, who reported the misconduct of the bank to ASIC six years ago, said in an article for The Sydney Morning Herald that neither the bank nor ASIC should be in control of the compensation program.