Harassing banks a public service: Carnell
A "lack of action by banks, time and time again," warrants steady scrutiny of the sector, Kate Carnell, the Australian Small Business and Family Enterprise Ombudsman told a Senate committee yesterday.Pressure "should continue to be placed upon" banks by the parliament and other stirrers, the small business ombudsman, Kate Carnell, told a parliamentary committee.One reason, Carnell explained, is that banks are finally settling up on old, controversial cases.In a skim through themes in her report on small business loans, released last month, she said that 17 separate inquiries (many by parliamentary committees) "had reported in various forms over that period of time and there's very, very little movement [on matters] we think they should have picked up on."Carnell used as an example past calls, supported by her, for banks to supply updated valuations on security property to a borrower."They charge you for that valuation, but won't give you a copy of it."Carrnell said the ASBFEO's report last month included recommendations "we've tried to make doable."Banks may be responding to the thrust of her recent inquiry on at least one front.Of the 20 odd cases selected for a "deep dive", Carnell said "there were a few who seemed to get settlements."The ombudsman was giving evidence at a hearing of the Senate's economics legislation committee.A separate economics committee, of the House of Representatives, begins hearings this morning on its second round scheduled quarterly encounters with big bank chief executives.Andrew Thorburn, CEO of NAB is first up.