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Former CBA boss begins role as AMP chairman

David Murray AO has commenced his role as board chairman at embattled wealth group AMP Limited.

Mr Murray, who served as CEO of Commonwealth Bank between 1992 and 2005, has started as chairman of the board at AMP on Thursday (21 July 2018), replacing Catherine Brenner.

Interim executive chairman Mike Wilkins will return to the role of acting CEO until a permanent replacement for former CEO Craig Meller is found.

The new chairman accepted the role on 4 May 2018 and is expected to “reinvigorate” AMP by leading the redevelopment of governance processes at AMP including “a process of considered board renewal and the appointment of an additional non-executive director in the near term”.

“I am pleased to today begin the task of rebuilding AMP as chairman, working with the board and management to restore trust in the company,” Mr Murray said on Thursday.

“AMP plays an important role in the Australian finance system, serving more than 3.8 million customers with products and services that are vital to the functioning of our economy.”

He continued: “Our business has undoubtedly been challenged by recent events, but the board will set the tone from the top as we drive change across the business.”

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In addition to “strengthening” AMP’s governance framework, the new chairman, who led the Australian government’s financial system inquiry in 2014, will also be prioritising “remediation of customers” and “rebuilding relationships with regulators”.

This week, AMP additionally announced the appointment of Credit Suisse Australia’s former chairman, John O’Sullivan, as a non-executive director of its board, effective on Wednesday, 20 June 2018.

Non-executive directors Vanessa Wallace and Holly Kramer had stepped down from the board, with Ms Wallace also resigning from her role as chairman of AMP Capital.

AMP’s chief risk officer for advice, Pally Bargri, is also departing the bank in mid-July after four years.

Long-serving director Patty Akopiantz offered to leave the board as well but will continue to serve until the end of 2018.

Mr Williams earlier this year said that shareholders were “demanding board accountability” amid revelations of misconduct by bank staff, adding that shareholders “need to know that meaningful change is underway”.

[Related: ‘Blunt’ cash rate lever has become obsolete]

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