HIH’s Cohen cops six-year ban
Former HIH Insurance chairman Geoffrey Cohen has been barred from responsible positions in the insurance industry until 2015 under an enforceable undertaking agreed with regulators.
The Australian Prudential Regulation Authority (APRA) announced on Friday the enforceable undertaking will replace a 2005 disqualification order.
Mr Cohen was a non-executive director and chairman of the board of HIH and its predecessors from 1992 until the company folded in 2001. He also served at various stages as an HIH investment committee member and audit committee member and chairman.
APRA has alleged Mr Cohen failed to competently and diligently carry out his responsibilities in relation to a number of issues including his own conflicts of interest, the conduct of company meetings and solvency concerns raised by accountants Ernst & Young.
Among other claims, the regulator said Mr Cohen failed to ensure that CEO Ray Williams and director Rodney Adler were absent from an investment committee meeting about a decision in which both men held an interest in the outcome.
Mr Cohen sought a review of the disqualification order that was deferred due to criminal proceedings launched by APRA. The regulator withdrew those proceedings last year.
APRA Deputy Chairman Ross Jones says the enforceable undertaking measure “continues to achieve APRA’s objective of protecting policyholders by removing the person from the industry and gaining admissions without the need for protracted litigation”.
The Australian Prudential Regulation Authority (APRA) announced on Friday the enforceable undertaking will replace a 2005 disqualification order.
Mr Cohen was a non-executive director and chairman of the board of HIH and its predecessors from 1992 until the company folded in 2001. He also served at various stages as an HIH investment committee member and audit committee member and chairman.
APRA has alleged Mr Cohen failed to competently and diligently carry out his responsibilities in relation to a number of issues including his own conflicts of interest, the conduct of company meetings and solvency concerns raised by accountants Ernst & Young.
Among other claims, the regulator said Mr Cohen failed to ensure that CEO Ray Williams and director Rodney Adler were absent from an investment committee meeting about a decision in which both men held an interest in the outcome.
Mr Cohen sought a review of the disqualification order that was deferred due to criminal proceedings launched by APRA. The regulator withdrew those proceedings last year.
APRA Deputy Chairman Ross Jones says the enforceable undertaking measure “continues to achieve APRA’s objective of protecting policyholders by removing the person from the industry and gaining admissions without the need for protracted litigation”.