KPMG Probes Aussie Bank’s System Malfunction

Lucas Gilmore, “Big 4″ observer
December 15, 2010 /

Accounting and restructuring firm KPMG has started its investigation into the reported system malfunction at Australia’s Commonwealth Bank (ASX: CBA) after its customers have lost their account and encountered disruptions with their ATM transactions.

As in the same system malfunction that its rival National Australia Bank (NAB) has encountered one month ago, a file processing problem has caused the trouble, affecting more than 6,000 customers who demanded for refunds for bank fees, interests, and late payment charge.

The system malfunction, which disrupted the operations of CommBiz and NetBank, has worried Commonwealth Bank’s customers that they may experience the same magnitude of trouble that customers of NAB’s ATM and Eftpos services did last month, which continued until last week following a periodic disruption of its online services, leaving the bank accountable to compensation claims from thousands of its customers.

Most of Commonwealth Bank’s customers affected, estimated to be 5 percent overall, were business clients. Also known as Commbank, it has become the second largest bank listed in Australian Securities Exchange by 2008, with transactions in New Zealand, Fiji, Asia, USA and the United Kingdom.

Commonwealth Bank has already made a public apology, adding that it has already fixed the system malfunction, restoring all accounts that have been wiped out and resuming its online services.

Commonwealth Bank advised its customers to contact the CBA for reimbursement incurred in the system malfunction.

 

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