"Last chance, Mr Banducci": Woolies CEO threatened with jail time
Outgoing Woolworths CEO Brad Banducci has been threatened with jail time for refusing to answer questions about price gouging at a fiery Senate enquiry.
The parliamentary probe into supermarket prices has seen Banducci be grilled by senators about how the supermarket raked in record-breaking profits during the ongoing cost of living crisis.
During the enquiry on Tuesday, Banducci was repeatedly warned by committee chair and Greens senator Nick McKim about giving evasive answers when asked about his company's return on equity.
Banducci repeatedly told the committee that return on equity was not his focus, and Woolworths is instead more interested in return on investment, refusing the question and prompting a 15-minute adjournment.
When the enquiry resumed, a similar exchange occurred, leading to another warning for the Woolworths chief executive.
"Last chance, Mr Banducci," McKim said.
"Do you accept that return on equity is an accepted measure of the financial profitability of a company?"
When Banducci replied that "we measure return on investment", the committee was suspended.
Its return immediately saw another round of the same questions and answers, with McKim warning Banducci about the consequences of not answering questions clearly.
"It is open to the Senate to hold you in contempt, and that carries potential sanctions including up to six months imprisonment for you," he said after saying the Woolworths boss could simply say he didn't know the answer and take the question on notice.
"That's why this is a critical matter so I'd just ask you to address your mind with absolute clarity, please, to the question I am asking."
"I put it to you the reason you don't want to focus on return on equity is because you don't like the story that it's telling, which is that you are basically profiteering and making off with massive profits at the expense of farmers at the expense of your workers and at the expense of Australian shoppers who you are price gouging," Greens senator McKim said.
The enquiry is still ongoing, with Coles counterpart Leah Weckert set to address the same Senate committee later on Tuesday as the government continues to probe allegations of price gouging.
Image Credits: ABC - Four Corners