ASIC Superannuation (Notice of disqualification—Kennedy Weldemariam) Instrument 2025/158

Overview

The ASIC Superannuation (Notice of disqualification—Kennedy Weldemariam) Instrument 2025/158, enacted by Craig Angove, a delegate of the Australian Securities and Investments Commission, aims to address the issue of disqualification of Kennedy Weldemariam from being an approved Self-Managed Superannuation Fund (SMSF) auditor. This instrument was created under subsection 130F(5) of the Superannuation Industry (Supervision) Act 1993 and is designed to provide notice of the disqualification, ensuring that the order is transparent and enforceable. The policy objective is to maintain the integrity and efficiency of the superannuation industry by preventing individuals who do not meet the necessary standards from performing critical roles within SMSFs. The Australian Securities and Investments Commission, acting through its delegate, enforces this disqualification to protect the interests of superannuation fund members and the broader financial system.

Scope and Application

The ASIC Superannuation (Notice of disqualification—Kennedy Weldemariam) Instrument 2025/158 applies specifically to Kennedy Weldemariam, who is identified as an approved Self-Managed Superannuation Fund (SMSF) auditor with the registration number 100263910. This instrument is a notifiable notice under the Superannuation Industry (Supervision) Act 1993, with the purpose of enforcing a disqualification order against the individual. The jurisdictional reach of this Act is nationwide, as it falls under the Commonwealth's regulatory authority through the Australian Securities and Investments Commission (ASIC). This disqualification order is effective from 19 March 2025 and is issued by Craig Angove, a delegate of ASIC, under the authority granted by subsection 130F(5) of the Act. This instrument highlights the regulatory oversight and enforcement capabilities of ASIC in maintaining the integrity and compliance of the superannuation industry in Australia.

Key Provisions

The ASIC Superannuation (Notice of disqualification—Kennedy Weldemariam) Instrument 2025/158I (hereinafter referred to as the Instrument) provides a formal notification and implementation of a disqualification order against Kennedy Weldemariam, an approved Self-Managed Superannuation Fund (SMSF) auditor. Section 130F(2) of the Superannuation Industry (Supervision) Act 1993 empowers the Australian Securities and Investments Commission (ASIC) to issue such an order. The Instrument specifies that Kennedy Weldemariam, with the registration number 100263910, is disqualified from holding the position of an approved SMSF auditor, effective from 19 March 2025. This disqualification order is a formal mechanism to protect the interests of superannuation fund members and ensure compliance with regulatory standards. Under the Superannuation Industry (Supervision) Act 1993, parties such as Kennedy Weldemariam, who hold an approved SMSF auditor registration, are subject to specific obligations and standards. These include maintaining professional competence, adhering to ethical standards, and conducting their duties with integrity and diligence. The Act imposes on Kennedy Weldemariam, and other approved SMSF auditors, the requirement to act in the best interests of superannuation fund members, ensure compliance with legislative and regulatory obligations, and maintain accurate and complete records of their audits. Failure to meet these standards may lead to disqualification from the role, as evidenced by this Instrument. The Act also outlines the consequences for breaches of its provisions. Section 130F(2) provides the statutory basis for ASIC to disqualify an approved SMSF auditor from their role. In this case, the Instrument serves as the formal notification of the disqualification. Breaches of the Act can result in significant penalties, both civil and criminal, depending on the nature and severity of the misconduct. While the specific penalties are not detailed within this Instrument, the Act generally allows for substantial fines and potential imprisonment for serious violations. The disqualification of Kennedy Weldemariam is a clear example of the enforcement mechanisms available under the Act to maintain high standards within the superannuation industry.