The Commerce Commission's decision to delay an announcement on whether to prosecute ANZ National Bank over its promotion of failed ING funds is not acceptable, says ACT Party commerce spokesman John Boscawen.“Thousands of people have lost money in t
The Commerce Commission’s decision to delay an announcement on whether to prosecute ANZ National Bank over its promotion of failed ING funds is not acceptable, says ACT Party commerce spokesman John Boscawen.
“Thousands of people have lost money in this collapse and all were expecting an answer next week,” he said.
Commerce Commission chairman Mark Berry earlier told Parliament’s Commerce Committee that its investigation had been delayed until mid April, two weeks later than planned.
He cited a clash of regulatory work priorities.
Mr Boscawen slammed the hold up saying investors have been left in limbo – with some passing away without ever seeing an outcome.
The two funds, ING's diversified Yield Fund, and the Regular Income Fund, were advertised as low or moderate risk, but contained investments in complex collateralised debt obligations (CDOs).
ING froze them in March 2008 as the financial crisis began to bite.
At their peak they were worth $850 million. About 14,000 disgruntled ING investors lost the right to benefit from any legal action and claims by taking up an offer that saw 60% of their frozen funds returned.
The Commerce Commission is investigating whether the sale of funds, heavily promoted by ANZ, breached the Fair Trading Act.
