New Zealand banker goes on the run

The New Zealander was working at the Commonwealth Bank of Australia when the kickbacks were allegedly received. File photo / Getty Images

Police across the Tasman are hunting for a New Zealander and former Commonwealth Bank executive who left Australia after learning an investigation was under way into his allegedly receiving kickbacks.

The former banking executive has so far evaded authorities and is believed to be in the United States.

A warrant hasn't been issued for his arrest and the Australian Financial Review reports that the Federal Bureau of Investigations is helping New South Wales Police with inquiries.

The hunt follows another former Commonwealth Bank executive being arrested in Sydney yesterday, some months after the financial institution noticed suspicious payments made into his bank account.

NSW Cybercrime and Fraud Squad boss Detective Superintendent Arthur Katsogiannis said the New Zealand national fled the country when police froze $US1.5 million ($2.05 million) in suspected corrupt payments.

"We believe there was more money, some of that money is no longer there," he told reporters.

Katsogiannis said the alleged fraud was at "the top echelon".

The second executive, a US national who police allege was trying to flee the country when he was arrested, is accused of being in a corrupt relationship with an overseas company that was providing IT services to the CBA.

The man was allegedly receiving kickbacks from a not-for-profit organisation, set up as a shell company to launder the payments from the US-based IT company.

Police allege the two executives granted the IT company a lucrative contract without putting it to public tender and in exchange the managers received kickbacks.

The US national was fired from the bank late last year. He is charged with two counts of bribery.

The two individuals, who were already on substantial salaries, were probably the most senior executives that have been caught out for this offence, Katsogiannis said.

The bank contract awarded to the company was worth tens of millions of dollars, police allege.

A Commonwealth Bank spokesperson confirmed it was the institution that reported the matter to police.

"We have no tolerance for illegal activity by any employee and we take every situation seriously," the spokesperson said.

"We confirm that no customer has been affected by this matter."

- AAP