The banking regulator has banned a former National Australia Bank branch manager for seven years for ‘reckless’ loan fraud.
Rabih Awad was found to have given NAB false payslips, letters of employment, and entered false referee contact details in multiple loan applications, with the majority linked to a real estate agent who had been registered as a so-called introducer.
ASIC enforced the ban after NAB reported allegations that some employees in western Sydney were accepting false documents in support of loan applications and falsely attributing loans to obtain undue commissions.
ASIC said Mr Awad recklessly gave NAB information and documentation that was false or misleading, with documents coming directly from the supposed introducer rather than – as required by NAB – from the customer.
NAB has identified about 2,300 home loans that since 2013 may have been submitted with inaccurate customer information and documentation, or incorrect introducer information.
NAB announced a remediation program for affected customers after uncovering the issue when whistleblower reports prompted an internal review.
Mr Awad has the right to appeal.