Former governor of the Reserve Bank, Ian Macfarlane is reported to have raised doubts about the healthiness of Australia's banking system. The relative low exposure of Australian Banks to the risky investments that have led to the Global Financial Crisis was due more to lack of opportunity than other factors like good governance or better management, according to the report in the Australian; Australian Banks did not have the funds to invest as did their counterparts in Europe and America. If he is right, the Australian financial system might avoid an overhaul, through complacency, that it really needs.

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Two professors of medical ethics criticise the proposed unified Code of Professional Conduct for the new Australian Medical Council for confusing the different roles of law and ethics.

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Financial advisor, Storm's collapse is another example of risky borrowing to finance investment, “leveraging”, it's called. It works in a bull market: you borrow now to make investments that will increase in value more than the interest you have to pay on the loan you took out. Storm did much of it in real estate. Couples were advised to borrow against their homes and invest. The promises were astounding: "Client AO - 8 years, 6 months invested. First investment $350,000, current balance $14.9 million". Another started with Storm just before the September 11 market crash. First investment $300,000. Current balance $37.8 million.” Fees on that account were $330,000 for March 2007 for an accumulated total of $1.2 million.

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Insurance industry representatives have called into question the fairness of uninsured people benefiting from the Victorian Bushfire Appeal Fund as well as promises from Federal and State Governments to help them recover. The Bush Fire Appeal Advisory Panel said that $47 million had been ear-marked for the worst affected, but that no decision has been made on the remainder.
John Sweeney

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