3 May 2018Hot off the Press
The Commonwealth Bank (CBA) has admitted to losing the statements of 19.8 million accounts and deciding not to tell customers in an effort to prevent unecessary alarm.
While the bank insists the information did not get into the wrong hands and was most likely destroyed, it has attracted harsh criticism propelled by recent revelations of widespread misconduct in the fianance sector, uncovered by the banking royal commission.
CBA’s Angus Sullivan said it was “unacceptable” but claimed the information did not contain any passwords or PINs that could compromised customers’ accounts.
When the bank understood the magnetic tapes containing the statements was missing, it launched an investigation and notified its regulators, according to Mr Sullivan.
In a statement, Mr Sullivan said: “I want to assure our customers that we have taken the steps necessary to protect their information and we apologise for any concern this incident may cause. The relevant regulators were notified in 2016 and we undertook a thorough forensic investigation, providing further updates to our regulators after its completion.”
Mr Sullivan defended CBA’s choice not to alert its customers, saying the decision was reached after consultation with the Office of the Australian Information Commissioner (OAIC).