Comments by ASIC chairman Greg Medcraft at the Australian Securities and Investments Commission's recent annual conference on the need to focus on culture are still echoing across the banking sector.  John Brogden, the Australian Institute of Company Directors chief executive, was reported by Fairfax Media as telling an Australian Centre for Financial Studies event in Melbourne on Friday that "vertical integration and flawed remuneration policies are plaguing the banking and financial services industry. "If I was on the board of one of the big four banks at the moment I would be telling the executives to look at selling their wealth management arm," Brogden said. Then, yesterday, David Gall, NAB's group chief risk officer refuted Brogden's concerns in an AFR opinion piece in which he argued that, "while some issues relate to legacy practices and policies, as an industry we need to continue to improve our risk culture and address the drivers of poor conduct." "A values-led organisational culture where the customer is front and centre helps drive a sound risk culture ... is less likely to experience conduct risk," Gall said. The intentions were sound but the effectiveness of these new concepts unlikely to be proved, if yesterday's reaction from Peter Collins, chairman of Industry Super Australia is any guide.  "The governance and culture of Australia's major banks is obviously the number one risk in financial services at the present time", said Collins. "During the first quarter of 2016 we have had more bank scandals reported than public holidays in Australia. "In the midst of these scandals, the banks have shamelessly sought to redesign the super system to suit their business models," Collins said. "Over the past two years we have seen the banks lobby to remove consumers protections for people who need financial advice, lobby to dismantle the governance model of not for profit funds, and lobby to remove protections for people who do not choose their own super fund. "Currently they are lobbying to retain commissions on life insurance and to avoid having to disclose fees and returns for the majority of their choice super 'product dashboards'. Collins said that, "in light of this pattern of behaviour and clear empirical evidence members interests are not being prioritized, there are legitimate questions to be asked about the role, if any, banks should have in compulsory super. "The Productivity Commission review of the super system will provide one opportunity for a thorough assessment as to whether the business model of the scandal-prone banks is consistent with the best interests of super fund members," he said.