ANZ probe clouds Elliott exit, succession plan

ANZ chief executive Shayne Elliott. Picture: Arsineh Houspian

ANZ Bank was said to be well advanced in its succession planning for boss Shayne Elliott back in 2021 but, despite this, he stayed at the helm.

Yet there is a view that an investigation by the corporate regulator into alleged market manipulation may accelerate his departure in what could be a drawn-out process that casts a dark shadow over ANZ.

Mr Elliott stayed on to integrate Suncorp, which it purchased for $4.9bn, and before this investigation played out it was considered part of his legacy.

But bank integrations are challenging due to different cultures and IT systems, and integrating the bank could take several years, so it was always thought his departure would be at some stage in the near term.

Before the latest investigation, there were questions over whether Mr Elliott would want to stick around to finally see it through, or whether this year or sometime next year would be a good time to hand the challenge to his successor.

As reported earlier, staff from the bank’s institutional division are being interviewed over unusual trading activity in government bonds and futures.

The Australian Securities & Investments Commission has started to engage with bank employees, but The Australian understands it is yet to grill staff at the centre of the allegations within ANZ’s markets unit.

Sources said the regulator was conducting due diligence and firming up a potential case before conducting formal interviews.

The matter concerns ANZ’s bond trading activity and alleged manipulation of bond futures contracts, as well as broader cultural issues within the bank’s markets unit.