The twists and turns at QBE

Illustration: Rod Clement.

The shock departure of senior QBE executive Colin Fagen from chief executive John Neal’s executive ranks looks bound for the courts, with negotiations between Fagen, his lawyers and the insurance giant in danger of running off the rails.

QBE told the market last week that group chief operating officer Fagen was out the door. Till then he had been on a rapid upward trajectory at the group.

The company has given no reason for his sudden exit.

QBE chief executive John Neal.

It is believed Fagen has engaged Harmers Workplace Lawyers to act on his behalf, with parties so far unable to agree on the terms of his separation from the group.

It is the latest episode in what has been a turbulent past year professionally and personally for those in the senior ranks at the insurer.

It is understood Fagen, who last month assumed the chair of the Insurance Council of Australia (a role he has stepped down from), separated from his long-term partner around Easter last year.

She had also been a senior exec at the insurance group, which since Christmas has been the subject of speculation about a $20 billion takeover by German industry giant Allianz.

Then late last year Neal, who has been in the top job for almost five years, split with his wife Helen.

The insurance boss has since developed a relationship with one of his personal assistants, who is also personal assistant to the QBE board.

It is understood QBE chair Marty Becker is aware of his CEO’s new relationship, which is now becoming more widely known at the group as they begin to step out publicly as a couple.

Wonder how much the Germans know about all of this?

Intrigue deepens

Need more proof about just how much Colin Fagen’s departure surprised watchers of John Neal’s intriguing insurer QBE?

Here’s some: Fagen, in his now former role as president of the Insurance Council of Australia, is scheduled to give the ­welcome speech at today’s ICA annual forum at Hilton Sydney.

For real. Or at least that was the plan when invitations for the insurance association’s big day were sent out all of three weeks ago. In light of recent developments, a welcome speech by Fagen is unlikely.

Suppose we shouldn’t rule out a dramatic press conference out the front.

The council’s acting president, Allianz Australia CEO Niran Peiris, is expected to take over those duties. All will be revealed at 9am.

If Peiris does speak, it will be fascinating to hear what he says about his predecessor as president, whose time in the role lasted less than five weeks.

That’s no typo. Fagen took up his presidency — with the backing of QBE — on January 1 this year.

Fraser stumps up

Bernie Fraser finally released his review into governance of the not-for-profit superannuation industry yesterday, as flagged in this column over the weekend.

The review — which has become a bit of a running gag in government and super circles — was commissioned in December 2015 and was supposed to be released last April. So only 10 months late then.

Former Reserve Bank governor Bernie Fraser.

Fraser — a Treasury secretary in the Hawke-Keating government, trusted Reserve Bank governor and, for a while, the face of industry super — delivered a copy of the report himself to Revenue and Financial Services Minister Kelly O’Dwyer yesterday.

Fraser, to no one’s surprise, was accompanied on his trip to Canberra by the chief executive of Industry Super Australia David Whiteley and outgoing Australian Institute of Superannuation Trustees boss Tom Garcia.

We understand from impeccable spies in the ministerial corridor that neither Whiteley nor Garcia joined Fraser for his meeting with O’Dwyer. They waited outside.

The meeting between Fraser and the minister was their first in the 15-month long period of the review.

How much influence the report has will be determined by the crossbench, particularly South Australian King Nick Xenophon.

O’Dwyer has made clear to the super industry that she is eager to press on with the government’s push to increase the number of independent directors on superannuation boards.

Xenophon normally has a good relationship with industry super, but has not been impressed with the delay.

It’s not clear whether Fraser, Whiteley and Garcia delivered a copy to Xenophon in person yesterday. Also unclear is whether they had a bespoke rolled-gold version, fit for a Senate king.

Down on the farm

Mirvac’s head of office and industrial Campbell Hanan has survived the bullpen of Investa Property Group, where he used to be the chief executive.

Hanan might have been keen for quieter times in his move to the more peaceful pastures of Mirvac just on a year ago.

But it was not to be, with the property exec recently having a run in with a real bull — and not of the market variety.

Still standing: Mirvac head of office and industrial Campbell Hanan after being attacked by a bull

Opening Mirvac’s half-year results briefing yesterday morning, chief executive Susan Lloyd-Hurwitz informed investors of Hanan’s altercation, which happened while he was off duty, and saw him take questions from analysts sporting a visible bruise on his cheek.

Hanan, who grew up on a farm, was helping his father back home mark bull calves when his run-in occurred.

He needs to have reconstructive surgery next week for a broken eye socket, and a nose and cheek that aren’t in good shape.

“It is what it is,” he told us when we called to inquire about his health. Friends are sending his wife photos of Brad Pitt, saying this is what he should look like after the operation.

Party animals

Aussie John Symond’s home loan business celebrated its 25th birthday last night in Sydney at its new headquarters at Grosvenor Place.

The guest of honour was NSW Premier Gladys Berejiklian.

Aussie Home Loans founder John Symond and wife Amber at their annual Christmas cocktail party. (Picture: Brianne Makin)

A good strategic move by her. Symond (last valued at $537m), has been generous to the Liberal Party over the years, opening his $100m Point Piper palace for lucrative fundraising events.

Westpac boss Brian Hartzer was also along, as was Ryan Stokes, one of the Seven West Media board who did know about the Tim Worner sex-drugs-and-expenses scandal before it broke in the media on December 18.

There’s more about that interesting corporate governance story on the front page of today’s paper.