Controversial former AMP chair Catherine Brenner has been appointed to lead the board of the proposed merged entity for Australia’s three domestic payments schemes.
While the Australian Competition and Consumer Commission is yet to approve the merger of NPP Australia, Eftpos and Bpay, the common shareholders of the schemes – the four major banks - are already beginning to roll out elements of the combined entity’s new governance structure.
Brenner is set to be the inaugural chair of Australian Payments Plus Ltd, a wholly owned subsidiary of NPP Australia that currently counts NPP chief executive Adrian Lovney and payments industry kingpin Robert Milliner as directors.
Australian Payments Plus (APP) is earmarked to absorb the assets of the three payments schemes.
Brenner’s appointment took some payments industry experts by surprise, partly because it came before the ACCC delivers its verdict on the merger application.
“I’m surprised that the announcement has been made now because the ACCC has not yet given the merger a tick of approval,” said McLean Roche principal, Grant Halverson.
“I say good luck to her because the merger, if it proceeds, is going to be a very big challenge.”
Milliner, who has led the industry committee overseeing the merger approval process, yesterday said Brenner’s appointment reflected APP’s focus on “more efficient governance” and innovation.
“Catherine is the right person to take Australian Payments Plus forward with her passion for technology solutions but also deep understanding of financial services,” he said.
“I am confident that under Catherine’s leadership the transition to a combined entity will be seamless and subject to ACCC approval, Australian Payments Plus will deliver positive outcomes for all users of the payments system.”
Brenner’s appointment is controversial given the cultural and compliance failures that occurred during her time as chair of AMP.
She resigned from the AMP board in April 2018 following evidence given to the Hayne Royal Commission that the company misled an ASIC investigation into allegations that AMP levied fees on customers without providing any services.
Since then AMP has been forced to compensate hundreds of millions of dollars to thousands of customers.
Brenner was notified by ASIC in August last year that she would not face any charges relating to the fees for no service investigation, but the scandal and the company’s cultural flaws continue to plague the AMP brand.
The APP appointment, if the merger is approved, would mark Brenner’s return to the financial services industry since her abrupt exit from AMP three years ago.
“This is a very exciting era in Australian payments, as we seek to create a more efficient entity that is better suited to serve the ongoing needs of Australian payments users,” she said on Tuesday.
“By bringing together three truly iconic Australian payments brands – eftpos, BPAY and NPPA – I know they will work seamlessly together to foster greater innovation and products for all users.”
Brenner also said she was looking forward to engaging with end users such as small retailers in her new role.
However, most small businesses are hoping she will not have to take up the role after they called on