NOTICE OF DISQUALIFICATION
Superannuation Industry (Supervision) Act 1993
To:
Glenn Dickerson
MIDLAND WA 6056
I, Ivan Parrett, a delegate of the Commissioner of Taxation, give you notice as required by subsection 126A(6) of the Superannuation Industry (Supervision) Act 1993 (SIS Act), that I have made a decision to disqualify you from being a trustee or a responsible officer of a body corporate that is a trustee, investment manager or custodian, of a superannuation entity.
I have disqualified you under subsection 126A(2) of the SIS Act as I am satisfied that the corporate trustee has contravened the SIS Act 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 order takes effect on the day on which this notice is made.
Dated: 14 January 2014
Ivan Parrett
Assistant Commissioner of Taxation
Per Michael Grivell
Note 1:
In accordance with subsection 126A(7) of the SIS Act, particulars of this disqualification notice will be published in the Gazette.
Note 2:
In accordance with subsection 126A(5) of the SIS Act, we may revoke this disqualification order on our own initiative or on written application made by you.
Note 3:
In accordance with section 344 of the SIS Act, 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 of 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 (SIS Act) was enacted to address the need for effective supervision and regulation of the superannuation industry in Australia, ensuring that superannuation funds are managed responsibly and in the best interests of members. The Act aims to maintain confidence in the superannuation system by setting standards for the governance and operation of superannuation funds, and by providing mechanisms to address misconduct or breaches of the law by trustees and other responsible officers. The SIS Act is administered by the Australian Taxation Office, with the Commissioner of Taxation having the authority to disqualify individuals from managing superannuation entities if they have acted in a manner that warrants such action. The policy objective of the SIS Act is to protect the interests of superannuation fund members by ensuring the integrity and reliability of the superannuation system. The Act provides for the oversight of trustees and other responsible officers to prevent mismanagement, fraud, and other forms of misconduct within the industry.
Scope and Application
The Superannuation Industry (Supervision) Act 1993 (SIS Act) applies to individuals and entities involved in the administration of superannuation funds, including trustees and responsible officers of corporate trustees. The Act’s scope extends to those who manage, invest, or hold assets on behalf of superannuation entities. The jurisdiction of the SIS Act is Commonwealth-wide, affecting entities and individuals operating across Australia. The disqualification order in the notice issued to Glenn Dickerson under subsection 126A(6) of the SIS Act is based on his role as a responsible officer during corporate trustee contraventions of the Act. The disqualification takes immediate effect as per the notice. The Act also provides for the publication of such disqualifications in the Gazette and allows for the possibility of revocation of the disqualification order either by the delegate or upon application by the disqualified individual. Dissatisfied parties have the right to request a reconsideration of the decision within 21 days of receiving the notice.
Key Provisions
The Superannuation Industry (Supervision) Act 1993 (SIS Act) contains provisions that allow for the disqualification of individuals from holding certain positions within superannuation entities. Specifically, under section 126A, the Act permits the Commissioner of Taxation to disqualify individuals from being trustees or responsible officers of bodies that act as trustees, investment managers, or custodians of superannuation entities. This power is exercised when the Commissioner is satisfied that the entity has contravened the SIS Act and that the individual, at the time of the contraventions, was a responsible officer and the seriousness of the contraventions warrants disqualification.
The obligations imposed by the SIS Act on entities and individuals include ensuring compliance with all provisions of the Act. Trustees and responsible officers must adhere to the legal requirements set forth to manage superannuation entities properly. This includes maintaining accurate records, acting in the best interests of members, and following any specific instructions or guidelines provided by the Commissioner of Taxation. Non-compliance with these obligations can lead to serious repercussions, including the disqualification of individuals as outlined in section 126A.
Breaches of the SIS Act can result in severe penalties, both civil and criminal. Under subsection 126A(6), the Commissioner can disqualify an individual from holding certain positions within a superannuation entity if they have contravened the Act. This disqualification takes effect immediately upon the issuance of the notice. Additionally, the Commissioner can publish particulars of the disqualification in the Gazette, as stipulated in subsection 126A(7). In more severe cases, individuals may face criminal charges and substantial fines if they are found to have intentionally or recklessly contravened the Act. The penalties can include fines up to a maximum of $210,000 for individuals and $1,050,000 for bodies corporate, reflecting the seriousness of non-compliance in the superannuation industry.