The final submissions to the Senate committee’s review on ASIC’s performance are in, and low doc and no-doc loans are a hot topic.
At last count, more than a third of the 400+ submissions received related to low-doc and no-doc loans.
The latest submission, by Rocco Cassaniti, hits out at ASIC for failing to act after he alleges incomes were “grossly inflated” in their low-doc loan application in order to secure funding.
“Simply these matters are shrouded in legal protection for banks, hurting the livelihood of the unsuspecting citizen in the process,” wrote Cassaniti.
“With so much evidence against bank inappropriateness, why do we have an organisation who does not protect the consumer?”
A further common theme amongst the submissions was the collapse of Trio/Astarra, which was mentioned in 20 submissions. The failure of Storm Financial received 11 submissions and negligent advice relating to Commonwealth Financial Planning resulted in five.
Overall, less than 40 submissions were related to the advice and financial planning sectors.
Of the 410 submissions received 70 were confidential, 10 were received from academics and academic institutions and 45 from industry bodies, associations and consumer groups.