HSBC fined over Australian scam failures (opens original article in a new tab)

HSBC has agreed to pay A$35mn in penalties for failing to protect Australian customers from scams, admitting to serious systemic failures in its fraud prevention and customer complaint handling. The bank also paid A$28mn in refunds and compensation, following a surge in spoofing scams that caused significant financial losses for customers.

• HSBC agreed to pay A$35mn penalty for failing to protect Australians from scammers
• ASIC alleged systemic failures in HSBC's internal systems and response to customer complaints
• HSBC paid A$28mn in refunds and compensation to affected customers
• Spate of spoofing scams led to 380% surge in unauthorized transactions from 2023-2024