NOTICE OF DISQUALIFICATION
Superannuation Industry (Supervision) Act 1993
To:
Bernadette O’Connell
BAYSWATER WA 6053
I, John Ford, a delegate of the Commissioner of Taxation, give you notice as required by subsection 126A(6) of the Superannuation Industry (Supervision) Act 1993 (SISA), that I have disqualified you under subsection 126A(1) of the SISA.
I have disqualified you as I am satisfied that you have contravened the SISA on one or more occasions and the seriousness of the contravention provides grounds for disqualifying you.
The disqualification takes effect on the day on which it is made.
Dated: 1 May 2020
John Ford
Deputy Commissioner of Taxation
Per Alison Webster
Note 1:
Under subsection 126A(7) of the SISA, details of this disqualification notice will be published in the Commonwealth Government Notices Gazette.
Note 2:
Under section 126K of the SISA, it is an offence for a disqualified person, who knows that he or she is a disqualified person, to be, or act as a:
› trustee, investment manager or custodian of a superannuation entity
› responsible officer or a body corporate that is a trustee, investment manager or custodian, of a superannuation entity
The maximum penalty for committing this offence is two years jail.
Note 3:
Under subsection 126A(5) of the SISA, we may revoke this disqualification on our own initiative or on your written application.
Note 4:
Under section 344 of the SISA, if you are affected by this decision and are not satisfied with it, you can ask the Commissioner to reconsider the decision. This request must be made in writing within 21 days of receiving notice of this decision and must give the reasons you think the decision is wrong.
Overview
The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted to address the need for effective supervision and regulation of the superannuation industry in Australia, ensuring that the interests of superannuation fund members are protected. The Act was introduced by the Commonwealth Parliament with the policy objective of maintaining and improving the efficiency, integrity, and competitiveness of the superannuation industry while safeguarding the financial well-being of participants. In cases where an individual has contravened the provisions of the SISA, the Act provides mechanisms for disqualification to prevent further involvement in the administration of superannuation entities, thereby protecting the broader superannuation system from potential harm.
Scope and Application
The Superannuation Industry (Supervision) Act 1993 (SISA) applies to individuals and entities involved in the management and oversight of superannuation funds within Australia. Specifically, it governs the conduct of trustees, investment managers, custodians, and responsible officers of superannuation entities. The Act has a broad jurisdictional reach as it is a Commonwealth Act, thus it applies across the entire country. The Act's provisions can be extended or modified through subordinate instruments, such as regulations and legislative instruments, which may specify additional requirements or exceptions. Bernadette O'Connell, to whom this disqualification notice is addressed, falls within the Act's scope as she has been found to have contravened its provisions, leading to her disqualification. This disqualification prohibits her from acting or being involved in the management of superannuation entities, with significant penalties for non-compliance, including up to two years in jail. The Act also provides avenues for reconsideration and potential revocation of such disqualifications, ensuring that individuals have the opportunity to contest and resolve any grievances related to their disqualification.
Key Provisions
The Superannuation Industry (Supervision) Act 1993 (SISA) is a key piece of legislation in Australia that governs the conduct of trustees, investment managers, and custodians of superannuation entities. Section 126A(1) allows the Commissioner of Taxation to disqualify an individual from performing certain roles within the superannuation industry if they are satisfied that the individual has contravened the Act and that the seriousness of the contravention warrants such a disqualification. This was the basis for the disqualification of Bernadette O’Connell. Section 126A(6) mandates that a formal notice must be provided to the disqualified individual, detailing the reasons for their disqualification, as was done in the notice to Ms O’Connell.
Under the Act, parties or entities governed by it have specific obligations and requirements. Trustees, investment managers, and custodians must adhere to the standards set forth in the SISA to maintain their roles. This includes complying with all relevant financial and governance regulations to ensure the proper management and protection of superannuation funds. Additionally, section 126K of the SISA imposes a stringent obligation on disqualified individuals, prohibiting them from acting in any capacity that involves the management of superannuation entities, whether as trustees, investment managers, or custodians. This is to safeguard the interests of superannuation fund members.
Failure to comply with the provisions of the SISA can lead to significant consequences. Section 126K stipulates that it is an offence for a disqualified person who is aware of their disqualification status to act in any capacity within the superannuation industry. The maximum penalty for committing this offence is two years in jail, highlighting the seriousness with which the Act treats breaches of its provisions. Additionally, section 126A(5) allows for the possibility of revoking a disqualification either on the initiative of the Commissioner or upon a written application from the disqualified person. Finally, section 344 provides a recourse for those affected by the disqualification decision, allowing them to request a reconsideration of the decision within 21 days if they believe it to be incorrect.