ASIC highflyers see no conflicts in Qantas Chairman’s Lounge
The most senior members of the Australian Securities and Investments Commission are members of the Qantas Chairman’s Lounge but don’t regard that membership as problematic.
ASIC chair, Joe Longo has told Senate Estimates that members of the ASIC executive had declared their membership of the Lounge and that ASIC had a policy dealing with conflicts of interest
“We don’t consider membership of the Lounge a material impediment to the discharge of our duties,” Longo said.
ACT independent senator, David Pocock had asked Longo whether, if members of the ASIC executive, had received flight upgrades from Qantas they would declare them.
Longo said that he believed, if the upgrades occurred, that would be the case.
The ASIC chairman also claimed that he was not aware of any company other than Qantas which provided similar benefits to the ASIC board.
Senator Pocock posed the question to Longo that if some issue arose for ASIC involving Qantas whether the chairman, deputy chairs and commissioners would have to declare a conflict of interest.
Longo said that, in fact, issues had come up in the last year or so involving Qantas.
“And I don’t think and the commission’s view is that membership of a lounge is without more a conflict of interest that would require any of us to recuse ourselves from a decision relating to Qantas,” he said.
Pocock asked Longo whether he had received discounts or benefits from any other companies and said that it was not just about conflicts of interest but the perception of conflicts of interest.
ASIC’s membership of the Chairman’s Lounge is entirely consistent with ASIC’s approach of ignoring the corporate crooks that mix in those circles, while persecuting innocent front line advisers, and ultimately doing more harm than good for most Australian consumers.
Do as we say, not do as we do.
ASIC the masters of FARSEA’s unreal world code of ethics clearly see no reason for them to adhere to it.
FARSEA code 3 – YOU MUST NOT ACT WHERE YOU HAVE A CONFLICT OF INTEREST OR DUTY.
You must disclose the conflict of interest AND YOU MUST NOT ACT.
ASIC happily wine & dine in the Qantas chairman’s lounge for free and continue to act.
ARROGANT, SECRETIVE, INCOMPETENT & CORRUPT.
Perhaps Australia’s chief corporations lawman should review the meaning of “apprehended bias” and then review his Chairmans Lounge membership?
At common law and under the ADJR Act, the test for the Bias Rule extends beyond whether there is actual bias to whether there is an appearance of bias. An appearance or apprehension of bias may occur if, in the circumstances, a fair-minded lay observer may reasonably apprehend that the decision maker may not bring an impartial mind to their decision. This represents the principles that justice must not only be done but must be seen to be done, and that a decision-making process must be fair and impartial.
It would be very difficult for Chair Longo to deny that a ‘fair-minded lay observer may reasonably apprehend that an impartial mind was not brought to their decisions’ where such benefits as Chairmans Lounge access and free upgrades etc are provided to the decision makers.
A business NEVER gives gifts unless there is an expectation of quid pro quo somewhere.
This makes me think whether the Senate Estimates committee should ask whether ASIC receive any benefits, or reduce/subsidised super fund fees by using Aus Super as their chosen employer superfund. Seems like a rather cosy relationship.
What an abject disgrace.
So if an adviser can accept gifts over 250 but ASIC can have $700 to 2399 membership please just ignore anything we do anything bad quid pro quo we aren’t bad guys ASIC….
ASIC are so bad with for conflicts of interest and Bais they have been hammering financial planners for years and years one little look and they are doing the same not to mention all the free tickets and dinners and drinks for the boys club… not to mention they are government employees they should not be accepting anything they are being bought off and groomed.
Another Canberra joke.
There’s no way to make the ASIC Qantas Chairman’s lounge situation work:
Qantas is a public company. It must act in shareholders’ interests. Qantas spends shareholders’ money establishing and running the Chairman’s Lounge. No fees are charged.
If Qantas gets no benefit from ASIC by giving away membership to ASIC board members, Longo’s own argument, then Qantas is in the wrong and there is an offence sitting there right under ASIC’s nose.
If Qantas does get a benefit, then ASIC itself is in the wrong.