Powered by MOMENTUM MEDIA
realestatebusiness logo

Subscribe to our newsletter

CEO of AMP resigns with immediate effect

AMP chief executive Craig Meller has brought forward his resignation from the end of the year, to step down immediately in light of evidence of misconduct uncovered by the royal commission.

In a statement, AMP announced a number of measures following the revelations that it had lied to ASIC more than 20 times, among other acts of misconduct.

AMP non-executive board director Mike Wilkins has been appointed acting CEO and will chair a review of the institution’s advice business and governance issues.

Mr Meller said: “I am honoured to have been the CEO of AMP.

“I am personally devastated by the issues which have been raised publicly this week, particularly by the impact they have had on our customers, employees, planners and shareholders. This is not the AMP I know and these are not the actions our customers should expect from the company.

Advertisement
Advertisement

“I do not condone them or the misleading statements made to ASIC. However, as they occurred during my tenure as CEO, I believe that stepping down as CEO is an appropriate measure to begin the work that needs to be done to restore public and regulatory trust in AMP.”

Mr Wilkins, a former CEO of IAG Limited, will now chair the review with the assistance of external counsel, King & Wood Mallesons.

The group general counsel, Brian Salter, has agreed to take leave while the review is undertaken.

David Cullen, AMP general counsel, governance, has been appointed as acting group general counsel.

AMP said that it will be making a submission to the royal commission to respond to the issues raised.

“AMP apologises unreservedly”

Group chairman Catherine Brenner said: “AMP apologises unreservedly for the misconduct and failures in regulatory disclosures in our advice business. The board is determined that we will meet these challenges head-on, accelerating changes in both culture and performance at AMP.

“We have been driving much-needed change and improvement in our advice business, which has undergone significant leadership and governance renewal over the past year, but we know we have much more to do.”

The Adviser’s sister title, ifa, is running a live blog for the duration of the second round of hearings for the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry.

[Related: Banker misconduct could lead to ‘jail time’]Related: Banker misconduct could lead to ‘jail time’]

CEO of AMP resigns with immediate effect
mortgagebusiness

Latest News

Discover some of the top news stories impacting the mortgages space in this weekly wrap-up. ...

The financial watchdogs have remained wary of risks to the housing market as cash rate rises flow through to mortgage customers. ...

Australia’s household wealth has reached $14.9 trillion largely due to house price momentum, yet quarterly growth has continued its recent...

VIEW ALL

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

What is the maximum proportion of income borrowers should use to service a mortgage?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.