AMP boss Catherine Brenner resigns after royal commission hearing

AMP chairwoman Catherine Brenner is the company’s second high-profile casualty after today announcing she’s resigned.

AMP chairwoman Catherine Brenner has stepped down, days after the company’s CEO Craig Meller called it quits.

Australia’s oldest life insurance company could face criminal charges after damning reports from this month’s Financial Services Royal Commission found AMP regularly breached the Corporations Act.

Counsel assisting the royal commission Rowena Orr said the company had broken the law on numerous occasions, including charging a fee for no service and lying to the regulator about it.

The company’s shares have slumped since it admitted to misleading the Australian Securities and Investments Commission, with at least $2.2 billion wiped off its market value.

The company has its annual general meeting next week, with the Australian Financial Review reporting Ms Brenner’s resignation won’t be enough to stop investors revolting against the firm.

The company’s board held a crisis meeting last night where it was reportedly agreed that Ms Brenner would surrender her position.

Fairfax Media is reporting AMP’s interim CEO Mike Wilkins is expected to step up as chair after being the company’s CEO for less than two weeks.

Mr Wilkins joined the AMP board in 2016.

The company’s former CEO Craig Meller quit on April 20 after apologising “unreservedly” for AMP’s conduct.

He said he was “personally devastated” after AMP admitted to charging clients for advice they never received and then lying to the corporate watchdog about it.

AMP CEO Craig Meller with chairwoman Catherine Brenner. Picture: David Moir

He insisted he had not known about the behaviour but acknowledged that he was ultimately responsible.

“I do not condone them or the misleading statements made to ASIC,” Mr Meller said.

“However, as they occurred during my tenure as CEO, I believe that stepping down as CEO is an appropriate measure to begin the work that needs to be done to restore public and regulatory trust in AMP.”

Mr Meller was appointed AMP CEO in January 2014 after being with the company for 13 years.

He was expected to resign at the end of this year but decided to quit in the wake of the royal commission’s disturbing revelations.

AMP and the nation’s big four banks have already paid almost $219 million in compensation to more than 310,000 financial advice customers charged fees for no service.

AMP has refunded $4.7 million across more than 15,700 customers since it began co-operating with ASIC in May last year.

— With wires