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Commonwealth bank staff in alleged fraud report

TWO men are reportedly due to face court after they allegedly masterminded a $76 million Ponzi scheme in which Commonwealth Bank staffers have been implicated.

The staff received secret commissions for their role in the alleged fraud, which was ignored by management at Australias biggest lender, Fairfax Media reports.

The two men who allegedly concocted the scam, professional poker player Bill Jordanou and accountant Robert Zaia, are accused of using forged documents to borrow millions of dollars for several property developments that never got off the ground.

The pair are also accused of siphoning money from clients accounts without their knowledge or consent.

Documents obtained by Fairfax reveal the extent of the Commonwealth Banks involvement, revealing the bank knew about the alleged fraud in 2007 but did not report the pair to police until 2011.

The CBA documents and emails were obtained by Melbourne property developer Nick Fotopoulos, who lost more than $5 million and has launched a civil action against the bank.

Mr Jordanou and Mr Zaia are due to face court in February 2017 and have reportedly indicated they will plead not guilty to almost 100 fraud and deception offences.

Finance minister mathias cormann says budget is still forecast to return to surplus in

FINANCE Minister Mathias Cormann says the Turnbull government will get the budget back to surplus as soon as possible but won’t lock itself into an artificial deadline.

We need to make decisions that are both fiscally and economically responsible. Based on the numbers in the Budget a return to surplus is forecast, is projected for 2020/21, Senator Cormann told Sky News on Sunday.

He and Treasurer Scott Morrison will hand down the midyear budget review on December 19.

Last week, new national accounts showed the economy contracted by 0.5 per cent in the September quarter, its first decline since March 2011.

He also rejected the suggestion the Australian economy could be in recession and wont be pursuing stimulus spending in the upcoming mid-year budget review.

Senator Cormann said he was not anticipating the fourth quarter national accounts will show a consecutive negative result which would constitute a technical recession.

I completely reject your proposition that we are in a recession right now, that is just false, he said.

Mr Cormann also said the review of the Turnbull governments climate change policies was mere housekeeping.

Its always good practice, its always good housekeeping to look back at what youve done and the way youre doing it to ensure youre giving your policy settings the best possible chance to be successful, he said.