Corporate cop enters into mediation with embattled Cbus

An ASIC spokesman said the regulator, as a responsible litigant, had agreed to enter into mediation.

“Mediation is a typical part of the court process which may assist in narrowing the contested issues,” the spokesman said. “They are commonly held ahead of a matter being finally determined by the court. ASIC remains committed to ensuring Cbus is held to account for the various failings alleged in ASIC’s concise statement.”

Liberal MP Andrew Bragg, who has been rallying against Cbus over a suite of corporate governance scandals, said the fund’s victims deserved to understand exactly what had led to their claims being delayed.

“It’s clear from [Cbus chair Wayne] Swan and [board member John] Edwards’ testimony to the Senate, there are massive competency issues here, and I think these need to be addressed and not swept under the carpet,” Bragg said.

Cbus was contacted for comment.

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But in an affidavit filed with the Federal Court last month, lawyers acting for the fund said Cbus had published a media statement on its website following ASIC’s court action which said it was “sorry that delays have been experienced in the processing of insurance claims”, and that it “apologises to our affected members and their families without reservation and promises to do better”.

In an interview with The Australian last week, Swan said more than 90 per cent of the outstanding claims had been paid out, with the remaining being worked through as a priority as the fund seeks more details from members.

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