Westpac Response Plan Update

Media
Release

28 NOVEMBER 2019

WESTPAC APPOINTS BOARD FINANCIAL CRIME COMMITTEE AND
ANNOUNCES PROMONTORY TO UNDERTAKE FINANCIAL CRIME PROGRAM
AND ACCOUNTABILITY REVIEW

Westpac Group Chairman, Lindsay Maxsted today announced that Promontory had
been appointed to undertake the External Accountability and Financial Crime Program
Review outlined in Westpac’s Response Plan.

The review, commissioned by the newly appointed Westpac Board Financial Crime
Committee, would commence immediately.

“Westpac is determined to urgently address the issues that have given rise to the
AUSTRAC statement of claim,” Mr Maxsted said.

“We are genuinely remorseful for any hurt caused by the shortcomings in our systems
and processes and understand we need to find the root causes and ensure
accountability.”

Mr Maxsted said the newly appointed Committee that would oversee the review on
behalf of the Board of Westpac, is chaired by Non-Executive Director Peter Nash and
includes other non-executive Directors, Nerida Caesar, Steven Harker and Margaret
Seale.

“I am pleased Promontory has agreed to undertake this urgent external review given
their background and global expertise on this matter,” Mr Maxsted said.

“They will be provided all the resources they need to ensure a thorough, rapid and
independent analysis is undertaken.”

Mr Maxsted said the first priority would be reviewing issues associated with LitePay.

“If and where procedural, escalation or accountability failings are confirmed through
Promontory’s review, there will be immediate action taken.”

Commenting on their appointment, Promontory Australasian Practice Leader, Jeff
Carmichael said, “I am pleased to have been asked to undertake this important
review.
“With the rapid digitisation of the global economy, the proliferation of financial crime
has increased exponentially," Dr Carmichael said.
“Governments and financial institutions all around the world are grappling with the
complexities associated with both monitoring and managing the reporting of suspicious
activity given the huge volumes of transactions taking place every day.
“As we have seen with the Westpac matter, the implications of systems, personnel or
governance failings around financial crime can be very serious.”
In addition to Promontory’s appointment, Westpac will also establish an Accountability
Review advisory panel of three independent experts to consider Promontory’s report
and provide recommendations on governance as well as Board accountability. The
makeup of the panel will be confirmed in coming days.
The recommendations of the reviews will be made public and implemented as soon as
possible.
For further information:
David Lording Andrew Bowden
Media Relations Investor Relations
0419 683 411 0438 284 863