25 March 2004 12:00am

• There was little confidence in the accuracy of the internal model value at risk result for the currency options business. This lack of confidence led to VaR excesses being switched off for the currency options desk for large parts of the last two years.

• Potential losses from stress testing of $300 million identified in December 2003 - were only circulated within market risk. There was no escalation of results. APRA understands line management assumed this result was to be incorrect.

• In February 2004 (ie. a month after the scandal broke) the...