S&P Global Market Intelligence offers our top picks of banking news stories and more published throughout the week. Please note that some entries may have links to third-party sources that may require a subscription.
Settlement, fines and more
* Commonwealth Bank of Australia agreed to pay a penalty of A$700 million to settle money laundering charges filed by Australia's anti-money-laundering watchdog. As part of the settlement, the bank also admitted to additional violations of the country's anti-money laundering act.
* The U.K. Financial Conduct Authority fined Canara Bank £896,100 for failing to maintain adequate anti-money laundering systems, while also imposing a restriction that prevents the Indian lender from accepting deposits from new customers for 147 days.
* Australian authorities charged Australia & New Zealand Banking Group Ltd., Deutsche Bank AG and Citigroup Global Markets Australia Pty Ltd. with criminal cartel offences in relation to a share placement by ANZ in 2015.
* State Bank of India
Regulatory, policy updates
* India's central bank decided to allow urban cooperative banks to voluntarily convert into small finance banks.
* The Philippines central bank approved implementation of the net stable funding ratio for universal and commercial banks to help them strengthen their ability to withstand liquidity stress. Separately, the central bank approved a plan for lenders to open branches that are excluded from capital requirement calculations.
* Japan's Financial Services Agency is considering onsite inspections of regional banks with insufficient measures to prevent money laundering.
* The Reserve Bank of India raised its benchmark rate for the first time in four years, while the central bank of Australia kept its cash rate unchanged at 1.50%.
Deal news
* The Indian government is reportedly considering paring its stake in IDBI Bank Ltd. through a preferential share issue rather than a strategic sale to a single entity.
* India's Punjab National Bank plans to sell part of its stake in PNB Housing Finance Ltd. and certain noncore assets.
* IDFC Bank Ltd. received approval from India's central bank for its proposed acquisition of Capital First Ltd.
* Australia's Goldfields Money Ltd. expects to close its merger with mortgage wholesaler Finsure Holding Pty. Ltd. in July.
* Philippine National Bank
In other news
* Nine public sector banks in India may sell stakes in subsidiaries and reduce their corporate loan book under recovery plans submitted to the central bank.
* Westpac Banking Corp. may close its funds management unit, Ascalon Capital Managers Ltd., after failing to find a buyer for the business.
* Australian small-business lender Prospa Group Ltd. shelved its planned IPO indefinitely amid queries raised by the country's corporate regulator over its loan terms.
* Shares of Vietnam Technological and Commercial Joint Stock Bank, or Techcombank, dropped 20% on their first day of trading June 4, closing at 102,400 dong.
* Moody's said China's final rules on liquidity risk management for banks are credit positive.
* Myanmar's central bank is set to grant licenses to four new private lenders: Mandalay Farmer Development Bank, Sagaing Farmer Development Bank, Gems and Minerals Bank, and Tourism Bank.
