The Lutheran Laypeople’s League has announced the appointment of Ross Smith as its next chief executive officer. Smith will take over from Allen Kupke, who will retire after seeing total deposits held by LLL increase from A$560m in June 2009 to $1.28 billion at June 30 this year.
Smith, currently CEO of the Anglican Schools Corporation in NSW, will commence his role with LLL in October 2020, running a unique financial institution.
Originally established in 1921 to support the mission of the Lutheran Church in Australia, the Lutheran Laypeople’s League operated as a religious charitable development fund until 2019, when it was granted a banking licence.
The LLL currently administers more than 40,000 deposit accounts Australia-wide and is the first – and only – charitable financial institution in Australia to be licensed as an authorised deposit-taking institution. However, as Graeme Huf, its Chair noted, the licence comes with conditions: the LLL was not established to provide a range of financial products – that means no debit or credit cards, no home or car loans.
The organisation exists to fund the Lutheran Church in Australia, and does so primarily by funding approved projects of the LCA, such as upgrades to Lutheran schools, churches and care facilities, with surpluses generated assisting the LCA mission.
Therefore, while the LLL's account holders can use their funds to pay bills, for instance, they are restricted to services such as BPay, and online banking.
Incoming CEO Ross Smith will no doubt be looking for other income streams, while staying firmly within the religious parameters of the ADI's banking licence.