Canada’s biggest banks on the defensive over sales practice allegations

Banks on defensive over sales practice allegations

TORONTO — Allegations of aggressive, and in some cases illegal, sales practices at several of Canada’s biggest banks have put top executives on the defensive during the industry’s annual meeting season, with Scotiabank’s CEO telling shareholders the reports are “largely unsubstantiated”.

Brian Porter said that out of 400 million interactions between the bank’s clients and employees, Scotiabank (TSX:BNS) received only eight complaints about sales practices last year.

Porter was asked by a shareholder to respond to the reports by broadcaster CBC, which cited unnamed employees at Canada’s major banks who alleged they broke the law in order to meet sales targets and keep their jobs.

Porter’s comments came on the heels of similar remarks made by TD Bank’s CEO (TSX:TD) last week, who said that less than 100 of the complaints the bank received last year had compliance concerns.

Bharat Masrani said during the company’s annual meeting on March 30 that TD has brought in a professional services firm to help the bank review its businesses in light of the reports.

When asked by reporters if Scotiabank has any plans to launch a review or bring in external help, James O’Sullivan, head of Canadian banking, said the bank is constantly reviewing its businesses.

 

Follow @alexposadzki on Twitter.

The Canadian Press

Just Posted

Hwy. 97 reopened after Trout Creek collision

No details on injuries or cause yet

Souper Sunday raises Soupateria profile

The competition pits local chefs against each other to make soup for the those in need.

Supporting survivors of breast cancer

Survivorship shows there is life beyond cancer

Foreigner feeling like the first time after 40

Foreigner doesn’t miss a beat after 40 years

Octoberfest is the toast of the town

Eighth annual night of fun, music and brews

VIDEO: Sears liquidation sales continue across B.C.

Sales are expected to continue into the New Year

WATCH: 10,000 signatures gained to stop ‘no pets’ rental policy

Pets OK BC said about 1,700 animals were surrendered to the BC SPCA last year due to housing issues

A golden opportunity

Orthodontist offers sweet deal for the pocketbook

Who is Curtis Sagmoen?

The Observer reveals what we know about the man attached to the Silver Creek property where human remains were found

VIDEO: Oprah Winfrey and a celebrities attend ‘B.C. Miracle Concert’

Fundraiser featured Foster, Steven Tyler, The Tenors, Matteo Bocelli, Laura Bretan, Carly Rae Jepsen

Reel Reviews: Nothing left to lose

We say, “Grieving Quan kicks butt”

New B.C. acute care centre opens for young patients, expectant mothers

Facility aims to make B.C. Children’s Hospital visits more comfortable

Search ramps up for B.C. woman after dog, car found near Ashcroft

Jenny Lynn Larocque’s vehicle and dog were found in Venables Valley, but there is no sign of her

Police officer hit by car, stabbed in Edmonton attack back on job

Const. Mike Chernyk, 48, returned to work Thursday

Most Read