CDPP v ANZ & Ors

Overview

On 5 June 2018 criminal cartel charges were laid against Citigroup Global Markets Australia Pty Limited (Citigroup), Deutsche Bank Aktiengesellschaft (Deutsche Bank) and Australia and New Zealand Banking Group Ltd (ANZ) and several senior executives. On 8 December 2020 parties were committed for trial in the Federal Court.

According to the ACCC, 'The charges involve alleged cartel arrangements relating to trading in ANZ shares held by Deutsche Bank and Citigroup. ANZ and each of the individuals are alleged to have been knowingly concerned in some or all of the alleged conduct.'

The CDPP withdrew the charges on 11 February 2022. See ACCC media release.

Committal: Local Court

Australia and New Zealand Banking Group Ltd (ANZ), Citigroup Global Markets Australia Pty Limited (Citigroup), Deutsche Bank AG (Deutsche Bank) and six senior banking executives (John McLean, Rick Moscati, Michael Ormaechea, Michael Richardson, Stephen Roberts and Itay Tuchman) were committed for trial in the Federal Court on 8 December 2020.

Timeline on committal

Originally listed for Downing Centre Local Court in Sydney on 3 July 2018

Then delayed until October and adjourned until 5 February 2019 (brief mention before Magistrate Atkinson)

Prosecution directed to provide full details of case by 19 March 2019

Case adjourned until 9 April 2019

Committal mention on 8 November 2019 before Magistrate Greenwood. Determined bankers accused of cartel conduct may question JPMorgan executives (immunity applicants) about how evidence was collected and how immunity was negotiated in case alleging cartel conduct by ANZ, Citi and Deutsche.

Continued from 20-24 July 2020 in the District Court in Penrith before Magistrate Giles, courtesy of a virtual courtroom. Anticipated return to court was 25 August 2020.

Committal: 8 December 2020

ACCC media release

The ACCC's media release ➤ of 8 December 2020 (number 260/20) is reproduced (in part) below:

Australia and New Zealand Banking Group Ltd (ANZ), Citigroup Global Markets Australia Pty Limited (Citigroup), Deutsche Bank AG (Deutsche Bank) and six senior banking executives have today all been committed to the Federal Court of Australia for trial on criminal cartel charges.

The banks and the executives, John McLean, Rick Moscati, Michael Ormaechea, Michael Richardson, Stephen Roberts and Itay Tuchman, were committed from the NSW Local Court in Sydney today following committal proceedings.

Citigroup, Deutsche Bank, ANZ and the executives were charged in June 2018 following an ACCC investigation. The prosecution is being conducted by the Commonwealth Director of Public Prosecutions (CDPP).

The charges involve alleged cartel arrangements in 2015 relating to trading in ANZ shares held by Deutsche Bank and Citigroup. ANZ and each of the executives charged are alleged to have been knowingly concerned in some or all of the alleged conduct.

“As this matter involves criminal charges, we will not be commenting further at this time,” ACCC Chair Rod Sims said.

The matter will be heard in the Federal Court at a later date.

The ACCC's media release ➤ of 5 June 2018 (number 103/18) is reproduced below:

Citigroup Global Markets Australia Pty Limited (Citigroup), Deutsche Bank Aktiengesellschaft (Deutsche Bank) and Australia and New Zealand Banking Group Ltd (ANZ) have been charged with criminal cartel offences following an investigation by the ACCC.

Criminal charges have also been laid against several senior executives: John McLean, Itay Tuchman and Stephen Roberts of Citigroup; Michael Ormaechea and Michael Richardson formerly of Deutsche Bank; and Rick Moscati of ANZ.  

The charges involve alleged cartel arrangements relating to trading in ANZ shares held by Deutsche Bank and Citigroup. ANZ and each of the individuals are alleged to have been knowingly concerned in some or all of the alleged conduct.

The cartel conduct is alleged to have taken place following an ANZ institutional share placement in August 2015.

“These serious charges are the result of an ACCC investigation that has been running for more than two years,” ACCC Chairman Rod Sims said.

“Charges have now been laid by the Commonwealth Director of Public Prosecutions and the matter will be determined by the Court.”

The matter is listed before the Downing Centre Local Court in Sydney on 3 July 2018.

The Competition and Consumer Act requires any trial of such offences to proceed by way of indictment in the Federal Court of Australia or a State or Territory Supreme Court.

As this is a criminal matter currently before the Court, the ACCC will not be providing further comment at this time.

Background

The ACCC investigates cartel conduct, manages the immunity process and, in respect of civil cartel contraventions, takes proceedings in the Federal Court of Australia.

The Commonwealth Director of Public Prosecutions (CDPP) is responsible for prosecuting criminal cartel offences in accordance with the Prosecution Policy of the Commonwealth. The ACCC refers serious cartel conduct to the CDPP for consideration of prosecution in accordance with the Memorandum of Understanding between the CDPP and the ACCC regarding Serious Cartel Conduct.

[Copyright: Commonwealth of Australia. Reproduced pursuant to CC BY 3.0 AU licence]