Australian banks on time for compliance [Hmmm] : LUSENET : TimeBomb 2000 (Y2000) : One Thread

Well Ladies and gentelmen, what do you all make of this little statement? can we believe this report? if so, will it matter if the financial sector is on top of it if utilities are spasmotic [I have inside information on the non-compliance state of a Queensland and a northern NSW power suppier who will not confirm that their respective companies will be opperating into 2000, on the contery both informants 'executives' believe the light will go out in their power supply area]

Timothy J Wilbur Beyond 2000 Awareness Project, Australia *-*-*-*-*-*-*-*-*-*-*-*-*-*-*-*-*-*--* Banks earn anti-bug tick By TIM BOREHAM The Australian 15jan99

THE financial services sector is about to receive a clean bill of health for its efforts to mitigate against the effects of the year 2000 computer bug  despite a blow-out in compliance times.

The key financial institutions regulator, the Australian Prudential Regulation Authority, will later this month release an interim report which backs the industry's $1 billion-plus efforts to eradicate the bug's effects.

"The general tenor of the banking industry is that things are well on track and that the industry is well prepared," APRA chief executive Graeme Thompson said yesterday.

But, he added, remediation efforts were taking "a bit longer" than what the banks projected towards the end of 1998.

"The banks underestimated the amount of work which needed to be done," Mr Thompson said.

"There has been a bit of a drift compared with what we found six months ago."

Mr Thompson's comments come after the ANZ Bank on Wednesday reported that it had completed its testing program of internal systems.

These tasks comprised the bulk of the ANZ's year 2000 mediation budget of $183 million, the bank's chief information officer, David Boyles said.

Collectively, the banks are reportedly spending more than $1 billion to combat the problem. The National Australia Bank is spending more than $250 million.

With the big financial institutions reportedly on track with their internal compliance plans, the emphasis has turned to adequacy of interbank payments systems such as cheque clearance.

The interbank testing is being overseen by the Australian Payments Clearing Association, which yesterday reported that the program was on schedule.

"All testing will be absolutely completed by the 30th of June," APCA chief executive Peter Smith said.

"Of course, we have allowed for some slippage, but June 30 is a firm deadline."

The testing is in four stages: cheque payments, direct entry transactions, consumer electronic (ATMs and eftpos) and high volume transactions.

Mr Smith said the testing of the direct entry and high value testing systems was 40 per cent completed. Testing of the remaining systems is due to start in February.

"All of the testing has been completed within the milestones set," Mr Smith said.

Mr Thompson said APRA's work this year would focus on the financial institutions' contingency plans  what they will do if their best laid plans fail in the wake of wider financial mayhem.

-- Timothy J Wilbur (, January 18, 1999



I cannot tell you how many times in the last 6 months I have read this same article. We *$%@ed up our xxxx dead line but we promise to be 100 % in the next 6 months. My prediction is that they will miss that deadline too, not respond for a month then say we will be 100 % on December 31, 1999 - you can trust us.

The thing that caught my eye was: "Of course, we have allowed for some slippage, but June 30 is a firm deadline."

What happened to their firm deadline on December 31, 1998.

Thanks for the article Tim, its nice to have a good laugh first thing in the morning, gets the adrenilene flowing.


-- Matt (, January 18, 1999.

These types of stories are showing up all over the place. "We missed our deadline of 1998 and now will be done by the end of March." Same song, different tune.


-- Dave (, January 18, 1999.

I have a friend doing Y2K for one of the big Aussie banks in Sydney. He is a team leader. He told me privately he is worried, but he won't bug-out yet. He visited me at my country "weekender" and I told him he and his family would be welcome, but they'd better bring a trailer load of supplies. He is buying the trailer now, which he will fill with food and enough fuel for the 600 mile dash. I hope he gets his timing right when it is time to flee. Then, of course, maybe they'll fix everything like they keep claiming???

-- David Harvey (, January 23, 1999.

Moderation questions? read the FAQ