“ASIC alleges HSBC Australia failed to have adequate controls in place to prevent and detect unauthorised payments and failed to comply with its obligations to investigate customer reports of unauthorised transactions within the specified time frames required, and to promptly reinstate their banking services in a timely manner,” according to the statement.
ASIC said the bank on average took 145 days to investigate client reports that they had been scammed, the statement said. ASIC said HSBC Australia’s failings were widespread and systemic.
“We are considering the matters raised and will continue to co-operate and work constructively with ASIC,” a spokesperson for HSBC said in an email. “Protecting our customers from scammers remains a top priority. We continue to make significant investments in our fraud and scam prevention, detection and response.”
