Join our daily newsletter At The Bell to receive exclusive market insights
Bendigo Bank (ASX:BEN) has seen one-year returns slump -25% as fresh pain comes in the form of a disclosure that Deloitte, commissioned to look into Bendigo’s money laundering alert systems, has deemed the bank’s processes in this regard deficient.
Listen to the HotCopper podcast for in-depth discussions and insights on all the biggest headlines from throughout the week. On Spotify, Apple, and more.
This adds on top of recent pain for shareholders that came in the form of a 1Q26 earnings update that forced the bank to concede cash earnings were flat QoQ as “stronger income [was] offset by higher expenses.”
In that same update, we learned cash earnings actually fell -3.2%, but typical for more established companies, the flagging of challenging conditions (read: higher costs) was enough to send flocks of holders flying. Now those still hanging on have fresh money laundering concerns to worry about (though, it’s not like any Oz bank stock ever stays down for too long when that issue rears its head.)
As for Deloitte’s involvement, the firm was tasked with analysing activity at one undisclosed branch between August 2019 and August 2025, when it came to how the bank dealt with money laundering risks.
“Deloitte concluded that deficiencies existed throughout the relevant period regarding the Bank’s approach to the identification, mitigation and management of money laundering (ML) and terrorism financing (TF) risk,” BEN wrote on Tuesday.
“The Board is very disappointed with the findings and is fully committed to ensuring that the Bank undertakes the necessary enhancements to its systems, processes and frameworks.
“The Board has committed to fully funding the uplift program to address all deficiencies identified in the Deloitte review,” BEN concluded, adding that it continues to “engage constructively” with ASIC, AUSTRAC and APRA.
BEN last traded at $10.07/sh.
Join the discussion: See what HotCopper users are saying about Bendigo Bank Ltd and be part of the conversations that move the markets.
The material provided in this article is for information only and should not be treated as investment advice. Viewers are encouraged to conduct their own research and consult with a certified financial advisor before making any investment decisions. For full disclaimer information, please click here.
