Imagine if you will, a large Australian organisation with the following characteristics.
- The Chairman and Deputy Chairman are both executives of the organisation, contrary to all the claims about best practice governance necessitating the separation of roles of Chairman and CEO.
- One other member of the board (of 9 members) of this organisation is appointed by the principal owner of the the organisation.
- The principal organising purpose of this organisation is to use all tools and means available to it to manipulate markets; and in manipulating markets, this organisation has historically generated large profits and paid large dividends to its owner.
- A key consequence of the market manipulation of this organisation is that Australian savers have lost millions.
- Although one of the purposes of this organisation is to participate in and manipulate markets, this organisation does not have a financial services licence and it has never been investigated by ASIC or any other regulator.
- A wholly owned subsidiary of this organisation, a subsidiary set up for the purpose of international sales, has been caught engaging in foreign corrupt practices yet no member of the board of this organisation has ever been held to account.
- Employees of this organisation are recruited very early in their career and indoctrinated in the ways of the organisation, with very few if none, having career experience outside this organisation or within that of its owner. A cult culture of sorts.
- The media, when discussing this organisation seldom questions its means or methods and almost always ascribes to it uncritical and virtuous intentions.
What would you say about such an organisation? Perhaps worthy of a royal commission?
Well the organisation described above is the Reserve Bank of Australia.
Think about that.