NAB verdict soon from watchdog

AUSTRALIA'S corporate watchdog has completed its inquiry into a foreign exchange trading scandal at National Australia Bank (NAB), and will publish its recommendations - including possible legal action against rogue traders involved - by the end of the year.

NAB has had a terrible year, beginning with trading losses of A$360m (£140m) which cost the bank's chairman, chief executive and other executives their jobs.

The Australian Securities and Investments Commission (ASIC) into the four dealers blamed for the losses has taken nine months.

ASIC chairman Jeff Lucy refused to comment on the outcome, but said the regulator received full co-operation from NAB.

'We think we have concluded our processes appropriately and we will be making announcements in the very near future' he said.

The Australian Federal Police also carried out investigations, but has decided against laying any charges.

The bank, which recorded a 20% slump in net profit, is struggling to reinvent itself at home and in Britain under new chief John Stewart, formerly of Barclays.

It is reviewing its operations in Britain and could see relinquish some banking licences.