Westpac builds post-Austrac team

Westpac chief Peter King is rounding out his leadership team after the recruitment of Deutsche Bank’s Anthony Miller to head his institutional division.

Westpac CEO Peter King. Picture: Nikki Short

Westpac chief executive Peter King is rounding out his leadership team, with two more positions to fill after the recruitment of Deutsche Bank head of Australia and New Zealand Anthony Miller to replace Lyn Cobley as head of the institutional division.

The appointment, foreshadowed by The Australian online on Wednesday night, follows the management and board upheaval triggered by Austrac’s statement of claim last November.

Mr King said Mr Miller had extensive global experience in ­institutional banking and with his international background would bring broader risk-management experience to the bank.

“He has been in client-facing roles for the past 20 years and has deep banking and financial markets experience, which will be invaluable as we work to strengthen our relationships with our corporate and institutional clients,” he said. Mr Miller, chief executive for Deutsche Bank in Australia and NZ since 2017, will begin in the job later this year after the required regulatory approvals.

Earlier this month Mr King turned to KPMG partner Michael Rowland to fill his own position of chief financial officer.

Two senior roles on the bank’s executive committee remain to be filled: chief information officer and the head of the consumer bank.

Richard Burton was appointed acting head of consumer last month, with Les Vance promoted from chief operating officer to the new position as chief executive of financial crime, compliance and conduct management.

The third key appointment was a second tour of duty at the bank for Jason Yetton, who was recruited to the new role of chief executive, specialist businesses, responsible for Westpac’s superannuation, life insurance and wealth-platform businesses.

Mr King has now filled four positions on his executive committee, with two more to come.

Austrac’s statement of claim, lodged in the Federal Court, alleges millions of breaches of anti-money laundering laws.

The two parties are still haggling over an appropriate penalty, with Austrac seeking as much as $1.5bn and Westpac setting aside only $900m.

In the wake of the legal action, chief executive Brian Hartzer ­resigned, chairman Lindsay Maxsted brought forward his departure, and independent director Ewen Crouch did not seek re-election.

The promotion of then-chief financial officer Mr King to acting chief executive, and later to the permanent role, was followed by a brace of resignations.

Consumer banking boss David Lindberg, an internal CEO candidate who had only been running Westpac’s largest division for 14 months, accepted a senior position with the Royal Bank of Scotland, and chief information officer Craig Bright was lured to the British bank Barclays in the same role.

A week later, Ms Cobley announced her retirement.

While Mr King is nearing the completion of his management restructure, chairman John McFarlane is working on a makeover of the board to inject more banking experience.

In a letter to shareholders last April, he said banking was a highly specialised and complex sector prone to a lot of cycles.

“Banks are highly leveraged and dependent on the economies that they serve,” he said.

“As such, it is important that we have a strong management team and a diverse board with appropriate banking and other relevant credentials.

“While it is important we have non-executive directors with significant time on the board, we also need to ensure the board is renewed. Ensuring the strength, relevant experience and diversity is one of my highest priorities.”