Notice of Disqualification – Fabrice Murthen - 30 June 2025

Overview

The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted to address issues and gaps in the oversight and regulation of superannuation funds in Australia. This Act was established by the Australian Parliament to ensure that the superannuation industry operates in a manner that is fair, efficient, and protects the interests of superannuation fund members. One of the key objectives of the SISA is to maintain high standards of conduct and competence among those who manage and oversee superannuation entities. The Act provides mechanisms for the disqualification of individuals who have acted in a manner that is inconsistent with these objectives, ensuring that those who fail to meet these standards are held accountable. This legislative framework is critical in preserving the integrity and reliability of the superannuation system, which is a cornerstone of Australia's retirement income policy.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 applies to individuals and corporate trustees involved in the management and oversight of superannuation entities, which include superannuation funds and related entities. The Act has a broad reach, governing the conduct of trustees, investment managers, and custodians across Australia, and ensuring compliance with superannuation laws. The Act also extends its application through subordinate instruments that may further define the scope and specific requirements for compliance. The legislation does not specify exclusions or exemptions, but it does provide for the disqualification of responsible officers who have contravened the Act, as evidenced in the notice to Fabrice Murthen, who has been disqualified due to the corporate trustee’s contraventions. The disqualification notice is published as a Notifiable Instrument in the Federal Register of Legislation, and it is an offence for a disqualified person to act in any capacity related to a superannuation entity, with potential penalties including up to two years in jail. The Act also allows for the possibility of revocation of disqualification under certain conditions, as well as the right to request reconsideration of the decision within 21 days of receiving the notice.

Key Provisions

The Superannuation Industry (Supervision) Act 1993 (SISA) includes a provision under section 126A that empowers a delegate of the Commissioner of Taxation to disqualify individuals from being responsible officers of superannuation entities if they have contravened the Act. In this case, subsection 126A(6) mandates that the delegate must provide written notice of such disqualification, which is exactly what has occurred for Fabrice Murthen, who has been disqualified by Emma Rosenzweig, a delegate of the Commissioner of Taxation. The disqualification is based on the satisfaction that Fabrice was a responsible officer at the time of the contraventions by the corporate trustee of one or more superannuation entities, and the frequency of these contraventions warrants the disqualification. This action takes immediate effect as per the notice issued. The disqualification imposes significant obligations on Fabrice Murthen, primarily preventing him from acting as a trustee, investment manager, or custodian of a superannuation entity, or as a responsible officer of such entities. These restrictions are intended to protect the interests of superannuation fund members and ensure compliance with the SISA. Furthermore, under section 126K of the SISA, it is an offence for Fabrice, knowing he is disqualified, to assume any of these roles. Failure to comply with this prohibition can result in severe penalties, including a maximum of two years imprisonment. In addition to the disqualification and associated offences, the SISA provides mechanisms for potential relief. Under subsection 126A(5), the disqualification may be revoked either by the Commissioner’s office on their own initiative or upon a written application by Fabrice. This offers a pathway for reconsideration and potential reinstatement, subject to meeting certain conditions or demonstrating changed circumstances. For those who are dissatisfied with the disqualification decision, section 344 of the SISA allows for a request to the Commissioner to reconsider the decision within 21 days of receiving the notice, provided that the request is in writing and includes the reasons for dissatisfaction. This provision ensures that there is a formal process in place for challenging the decision if it is deemed unjust or erroneous.