Colonial unsure of investments

Colonial First State has left the board of directors, managing director and investor relations team of Commonwealth Bank looking ill-informed.

In prepared materials for the CBA annual meeting on Wednesday the bank, in the name of the board chair, John Schubert, wrote that it "can confirm that the Group does not have a banking relationship with Gunns Limited nor does Colonial First State hold Gunns shares in any of its funds."

Gunns holds licences to harvest state forests in Tasmania, among other business interests, and recently secured planning approval to develop a pulp mill on the Tamar estuary in the state's north.

Banks in general, and Gunn's current banker, ANZ, are the subject of lobbying by environmental activists to decline to advance loans to Gunns with which to fund construction of the mill.

Yesterday CBA advised the Australian Stock Exchange that in fact Colonial held "less than two per cent" of Gunns Limited.