Sydney barrister Peter King is calling for a royal commission into the provision of small business loans in Australia, along the lines of the Defence Abuse Response Taskforce, because of what he calls the intransigence of banks which refuse to negotiate, and prefer to see borrowers default on their loans.The barrister said that purchase of the Landmark loan book by ANZ at a deeply discounted 16 per cent of its book value had created a commercial incentive to default customers and sell them up, The Australian reported.King, who has acted for more than 50 aggrieved customers of Landmark after ANZ Bank's 2009 purchase of the rural lender's A$2.4 billion loan book, appeared in a private capacity to give evidence to the Parliamentary Joint Committee on Corporations and Financial Services, currently investigating the issues around the impairment of customer loans.King alleged that from 2009 to 2015, ANZ had constructively defaulted customers by reassessing loan-to-valuation ratios, relying on technical breaches of loan covenants and switching to asset-based financing.The committee also heard from a number of farmers who alleged they had been forced off their land after ANZ that made it impossible for them avoid technical defaults. For instance, WA sheep farmer Rod Culleton, who lost his farm in 2013, said ANZ created bank accounts for him after taking over his Landmark loan, even though he said he made it very clear that he didn't want to be an ANZ customer.Culleton in his written submission, said he was unable to find out how much he needed to pay out his loan despite asking many times over several years, including in person in the Bunbury branch. He also alleged that due to the corporate ownership structure created by ANZ after it took over Landmark, it was unclear where payments were ending up - and courts were unwilling to help, deciding cases in favour of ANZ.The ABC, reporting on oral evidence given to the committee at a hearing in Sydney yesterday, said that Culleton also told the inquiry about Brett Fallon, a Queensland cane and cattle farmer who had a Landmark loan of $3.5 million in 2010, when ANZ demanded it be repaid."Over the next three years Brett Fallon sold assets and all the proceeds [$3.7 million] were paid to the ANZ.""Mr Fallon then attended the Ingham branch of the ANZ in May 2013 and was told his outstanding loan was $4 million, and his cattle and crops belonged to [someone else, name withheld]."Fallon then tipped petrol over his head and set himself alight . He survived, but his hands remain maimed.The inquiry was originally scheduled to report back to Parliament by 31 March 2016. However the enquiry is likely to be extended in April to allow executives from ANZ and Commonwealth Bank of Australia to give further evidence.