{"id":65567,"date":"2026-06-18T09:26:22","date_gmt":"2026-06-18T09:26:22","guid":{"rendered":"https:\/\/www.europesays.com\/britain\/65567\/"},"modified":"2026-06-18T09:26:22","modified_gmt":"2026-06-18T09:26:22","slug":"hsbc-coughs-up-25m-over-australian-scam-failures","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/britain\/65567\/","title":{"rendered":"HSBC coughs up $25m over Australian scam failures"},"content":{"rendered":"

\t\t\tThursday 18 June 2026 7:27 am\n\t\t\t<\/p>\n

\"HSBC's\t\tHSBC faces another regulatory headache.\t<\/p>\n

HSBC has agreed to cough up just shy of $25m after admitting to failures in protecting customers in Australia from scammers<\/a>.<\/p>\n

The Australian arm of Europe\u2019s biggest lender<\/a> was investigated by the watchdog over alleged \u201cwidespread and systematic failures\u201d to shield its customers targeted by fraudsters.\u00a0<\/p>\n

The Australian Securities and Investments Commission (ASIC) said it had found HSBC did not maintain adequate controls over its internal transfer systems between May 2023 and May 2024, which exposed customers to a higher risk of unauthorised transactions.\u00a0<\/p>\n

The regulator<\/a> said HSBC was aware as early as May 2021 of the growing threat from impersonation fraud, where scammers were posing as HSBC representatives.<\/p>\n

\u201cThis is one of the first cases of its kind globally and sends \u200ba clear message that protecting customers from scams is a core \u200bresponsibility of banks,\u201d ASIC chair Sarah Court said.<\/p>\n

Both the ASIC and HSBC will jointly-seek approval from the Federal Court for the proposed penalty of $24.6m (\u00a318.5m).\u00a0<\/p>\n

Court said: \u201cHSBC\u2019s alleged failures left customers more vulnerable to scams, tens of millions of dollars out of pocket and waiting months to find out what had happened to their money.\u201d<\/p>\n

\t\t\t\t\tRead more<\/p>\n

\t\t\tEmergency lifeline for collapsed banks doubled to \u00a33bn<\/a><\/p>\n

\tHSBC in hot water<\/p>\n

HSBC said it had apologised to customers and had already paid some \u00a314m in refunds and compensation.<\/p>\n

A spokesperson said: \u201c[The bank] has reached an agreement to resolve the proceedings with ASIC, which recognises our customer \u200bredress program and the significant enhancements made to \u200bour fraud \u2060and scam prevention, detection and response.\u201d<\/p>\n

It marks the latest regulatory headache for the London-listed lender, which earlier this year fell into hot water in France over a scandal known as \u2018cum-cum\u2019 trading<\/a>.<\/p>\n

The FTSE 100 titan<\/a> was accused of helping foreign investors evade taxes on dividends through the sophisticated financial manoeuvre.<\/p>\n

The case related to a series of transactions between 2014 and 2019, which were engaged in by the bank\u2019s French unit, according to an investigation by France\u2019s national prosecution \u2013 the Parquet National Financier (PNF).<\/p>\n

HSBC reached a \u20ac268m settlement with the PNF bringing to an end a long-running probe into the firm\u2019s activity.<\/p>\n

Elsewhere, over two years ago the Bank of England slapped the bank with a \u00a357.4m fine for failing to protect customers\u2019 deposits. It followed a hit in 2021 that topped \u00a364m for weaknesses in its anti-money laundering controls.<\/p>\n

\t\t\t\t\tRead more<\/p>\n

\t\t\t88% of UK Customers Would Switch Banks Due to Financial Crime Failures, ThetaRay Report Finds<\/a><\/p>\n

\t\tSimilarly tagged content: <\/p>\n

\t\t\tSections\t\t<\/p>\n

\t\t\tCategories\t\t<\/p>\n

\t\t\tPeople & Organisations\t\t<\/p>\n","protected":false},"excerpt":{"rendered":"Thursday 18 June 2026 7:27 am HSBC faces another regulatory headache. HSBC has agreed to cough up just…\n","protected":false},"author":2,"featured_media":65568,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[20667],"tags":[714,21596,22614,20671,20672,20673,665,21822,633,2823,1613,30891,9881,20674,10242,1100,18,604,21601,13495,13496,30892,30893,29674],"class_list":["post-65567","post","type-post","status-publish","format-standard","has-post-thumbnail","category-hsbc","tag-banking","tag-banking-consolidation","tag-banking-fines","tag-banking-licence","tag-banking-sector","tag-banking-stocks","tag-banks","tag-bankside","tag-business","tag-economics","tag-fraud","tag-fraud-response","tag-hsbc","tag-hsbc-holdings","tag-hsbc-uk","tag-investigation","tag-news","tag-regulation","tag-regulation-uk","tag-scam","tag-scam-ads","tag-scam-call","tag-watchdog","tag-watchdogs"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@UnitedKingdom\/116770398899945552","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/65567","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/comments?post=65567"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/65567\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media\/65568"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media?parent=65567"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/categories?post=65567"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/tags?post=65567"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}