LABOR has already accused Tony Abbott of helping the big banks by reversing the Gillard government’s policy of seizing money from bank accounts that go untouched for three years.
The Prime Minister this morning announced the government was reinstituting the Howard government’s seven-year trigger for the seizure of inactive bank accounts, saying Labor’s three-year policy amounted to a “smash and grab raid on people’s savings”.
“About 156,000 accounts worth $550 million a year were being effectively confiscated by the government and then of course the government was making people go through months and months of paper work to get its own money back,” Mr Abbott told Sydney radio station 2SM. What Mr Abbott failed to say is that thee funds are confiscated from the hands of the Banks in order to be reunited with their rightful owners! He simply failed to mention that these millions remain lost in the banking system for years, something the banks dont’t mind at all. The longer the banks can have access to your lost monies and dormant accounts the more they can utilise these funds for borrowings, and te more fees and charges they can get for holding these funds. In other words its a rort and Mr Abbot is in on it with the banks.
However opposition assistant treasury spokesman Andrew Leigh called on Mr Abbott to explain why the change is in the community interest.
“Hundreds of thousands of Australians have money in old bank accounts and lost superannuation. We put these rules in place to stop the value of those accounts being eroded over time by fees,” Dr Leigh said.
“By reverting to the old rules, the government is saying unclaimed monies should be held secretly by banks for long periods being eaten away by fees and charges.
“The government needs to explain how this change is in the community’s interest, and not just the interests of the big banks.”
Legislation will be introduced later this year, but it will require the Senate’s endorsement.
Additionally to the banking rort Mr Abbot has his eyes set on billions more sitting in ASIC’s statutory account awaiting collection by their rightful owners, average Australians, and Australian businesses unaware that they have monies owed to them. How can Mr Abbot implement this kind of snatch and grab, well restrict information that allows Australian to identify that they are owed money in the first place. How can he achieve such a dirty deed while appearing of service to the Australian public? Claim its is for our protection, that he is making changes that will restrict Australians in ever getting back their own money, which amounts to billions BECAUSE he wants to protect our privacy, by restricting public information. Monies that become public revenue if unclaimed for a specified time. Who’s interest are you serving in all this Mr Abbot? NOT THE AUSTRALIAN PUBLIC!


What Mr Abbott doesn’t say is that there are billions in lost and unclaimed money because ASIC no longer contacts individuals directly as a result of budgetary restrictions. ASIC relies very heavily on agents to contact the public for them.

Through the agent’s contact, the vast majority of the public will initiate the claim themselves, whereas a small percentage will choose to use an agent.

Owners of fund who reside overseas will never know of funds owing to them if not for full data being available online on ASIC. By restricting access to the full ASIC unclaimed money lists, this will reduce the amount of people being made aware of the money owing to them and will significantly increase ASIC’s , claim processing costs due to the poor quality of applications being submitted.

The bulk of the ASIC unclaimed money belongs to older Australians, Australians living overseas, professionals and businesses. By restricting any pubic information he knows he will restrict them in claiming back what is rightfully theirs. The end result, billions of dollars in government revenue- revenue they are not ethically entitled to.

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