CEO of Commonwealth Bank of Australia Ian Narev will step down by the end of June 2018. Australians see this as a fallout of the bank’s reported involvement in a money-laundering scandal. The board of the bank is looking at both internal and external candidates. There are allegations that drug syndicates used the bank’s network of deposit machines to launder cash, despite warnings from police. Australia’s financial crimes agency and securities regulator have started investigations and the governor of the central bank has called for accountability in the banking industry. Narev, 50, has been with the bank since December 2011 and has been credited with the performance of the bank’s shares in the stock market. He has also been responsible for the bank reporting its 8th consecutive record profit. This is the third major scandal facing the bank in recent years. The bank had paid A$29 million in compensation to customers who were allegedly given poor financial advice, and has faced accusations it wrongly failed to honor insurance claims to sick clients.
