West Melbourne Print companies Note Printing Australia and Securency International are alleged to have bribed senior public officials from Vietnam, Malaysia and Indonesia to secure banknote contracts during 1999 and 2005, according to Bloomberg News.
The Reserve Bank of Australia (RBA) owns Note Printing Australia and 50% stake in Securency, although announced last November it would sell its stake in the company. RBA Governor Glenn Stevens said in an emailed statement:
“the Reserve Bank condemns in the strongest terms corrupt or questionable behaviour of any kind.
“Companies associated with the Reserve Bank and their staff must, like the bank itself, meet the highest standards of integrity and fully comply with the law.”
Bill Shorten, Australian Assistant Treasurer said after the announcement that he has
“full confidence in the Reserve Bank of Australia.”
“It’s clearly embarrassing for the Reserve Bank, but I think the market would make a clear distinction between their monetary policy and note printing functions”, said Nigel Stapledon, a former economist at Westpac.
The Australian Federal Police (AFP) has employed a 20-strong team of officers to investigate the bribery allegations. They have already charged six men from Victoria who appeared before Melbourne Magistrates Court last week.
The men could face a maximum penalty of 10 years in jail or an $AU1 million fine.
"This sends a very clear message to corporate Australia that the AFP will diligently chase and enforce the laws on foreign bribery,” said Chris McDevitt, AFP manager special references commander.
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