NAB to compensate MLC investors

National Australia Bank has offered to pay 235,000 customers compensation totalling $67.2 million for pricing irregularities on some of its superannuation and life insurance products, increasing the compensation amount from the $60 million offered in 2002.

The payments stem from a pricing discrepancy when NAB took over MLC in June 2000. The increased compensation amount follows investigations by ASIC, APRA, independent advisers and the bank's own internal business units. The number of people to be compensated has fallen from 270,000. A spokeswoman for NAB said most customers would receive about $50 with a small number receiving close to $10,000.