RNS Number:8092O
National Australia Bank Ld
19 August 2003


                                                       Group Corporate Affairs


                                                       National Australia
                                                       Bank Limited
                                                       ABN 12004044937


                                                       500 Bourke Street
            ASX Announcement                           Melbourne
                                                       Victoria  3000
                                                       Australia





Melbourne, Tuesday 19th August 2003



National Australia Bank in South Korea


Market speculation that National Australia Bank is exposed to a large corporate
default in South Korea is not correct.


There are no lending exposures in South Korea causing concern to the National.


Earlier this month a former employee of the National in Seoul was indicted by
the Seoul District Public Prosecutor on suspicion of embezzlement from members
of wealthy South Korean families.


The National has filed a complaint with the Public Prosecutor against the former
employee in relation to the forgery of certificates of deposits and promissory
notes of approximately A$77million (KRW60 billion), which purport to be National
Australia Bank documents.


The holders of the forged documents are not clients of the National. There was
no involvement by the National, nor did any funds pass through the bank's
records in regard to the forged documents.  The National is not liable on those
forged documents.


The National is fully cooperating with the South Korean authorities.



For further information, please contact:

Brandon Phillips
Group Corporate Affairs
03 8641 3857
0419 369 058





                      This information is provided by RNS
            The company news service from the London Stock Exchange
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