NOTICE OF DISQUALIFICATION
Superannuation Industry (Supervision) Act 1993
To: Mr Derek Ronald Whitehouse
MOGGILL QLD 4070
I, James O’Halloran, 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(2) of the SISA.
I have disqualified you as I am satisfied that the corporate trustee of one or more superannuation entities has contravened the SISA on one or more occasions, and at the time of the contraventions you were a responsible officer of the corporate trustee and the nature, seriousness and number of the contraventions provides grounds for disqualifying you.
The disqualification takes effect on the day on which it is made.
Dated: 8 June 2016
James O’Halloran
Deputy Commissioner of Taxation
Per Colleen Shelton
Note 1:
In accordance with subsection 126A(7) of the SISA, particulars of this disqualification notice will be published in the Commonwealth Government Notices Gazette.
Note 2:
In accordance with subsection 126A(5) of the SISA, we may revoke this disqualification on our own initiative or on written application made by you.
Note 3:
In accordance with section 344 of the SISA, if you are a person who is affected by this decision and you are dissatisfied with it, you may ask the Commissioner to reconsider this decision. Such a request must be made in writing within 21 days after the day on which you received notice of the decision and must also give the reasons for making the request.
Overview
The Superannuation Industry (Supervision) Act 1993 was enacted to address issues within the superannuation industry, ensuring it operates effectively and in the best interests of its members. This legislation was introduced by the Commonwealth Parliament to provide a regulatory framework for the supervision of superannuation funds and trustees, aiming to protect the interests of superannuation fund members. The policy objective of the Act is to maintain the integrity and stability of the superannuation system by imposing obligations on trustees and regulating their activities to prevent misconduct and breaches of trust. This includes provisions for the disqualification of individuals who have been responsible for significant breaches of the Act, as evidenced in the case of Mr Derek Ronald Whitehouse, who has been disqualified due to the contraventions committed by the corporate trustee of which he was a responsible officer.
Scope and Application
The Superannuation Industry (Supervision) Act 1993 (SISA) applies to individuals and corporate trustees involved in the management of superannuation entities in Australia. The Act is a Commonwealth law, extending its jurisdiction across the entire nation. It governs the conduct of responsible officers within corporate trustees, ensuring compliance with superannuation laws. The disqualification under subsection 126A of the SISA applies to an individual if they were a responsible officer at the time the corporate trustee contravened the Act, and the nature, seriousness, and number of the contraventions provide grounds for such a disqualification. The geographic reach of this Act is nationwide, encompassing all superannuation entities operating under Australian law. The Act does not specify exclusions or exemptions but allows for revocation of disqualifications and the possibility for reconsideration by the Commissioner if an affected party is dissatisfied with the decision. Subordinate instruments may extend or restrict the application of the Act, although the primary text does not detail these provisions.
Key Provisions
The Superannuation Industry (Supervision) Act 1993 (SISA) includes specific provisions for the disqualification of individuals who have been responsible officers of corporate trustees that have contravened the Act. Under subsection 126A(2) of the SISA, an individual can be disqualified if they were a responsible officer of a corporate trustee at the time of the contraventions, and the nature, seriousness and number of the contraventions provide grounds for disqualification. This is the primary operative section in the notice given to Mr Derek Ronald Whitehouse, where the delegate of the Commissioner of Taxation has exercised their power to disqualify him from being a responsible officer of a superannuation entity.
The obligations imposed by the SISA on individuals such as Mr Whitehouse include maintaining compliance with the statutory requirements governing superannuation entities. As a responsible officer of a corporate trustee, Mr Whitehouse would have had duties to ensure the trustee company adhered to the provisions of the SISA, including proper management of superannuation funds, accurate record-keeping, and timely reporting to the Australian Taxation Office. Failure to uphold these obligations can lead to the corporate trustee contravening the Act, subsequently triggering the disqualification process for responsible officers involved.
In terms of consequences for breach, the SISA provides for both civil and criminal penalties. While the notice itself does not specify the exact contraventions or penalties, the Act includes provisions for substantial fines and, in serious cases, imprisonment. The maximum penalties can vary depending on the specific contraventions, but they are designed to enforce compliance and deter non-compliance with superannuation laws. The notice also highlights the potential for revocation of the disqualification under certain conditions and the process for reconsideration of the decision by the Commissioner. This ensures that individuals have avenues for appeal and rectification if they believe the disqualification is unjust or if circumstances have changed.