Notice of Disqualification - James Leocata - 2 October 2025

Overview

The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted by the Australian Parliament to establish a regulatory framework that ensures the proper management and oversight of superannuation entities. The Act was introduced to address the need for stringent regulation within the superannuation industry to protect the interests of superannuation fund members, thereby maintaining public confidence in the system. The policy objective of the SISA is to promote the soundness and efficiency of the superannuation industry and to protect members of superannuation entities by ensuring that trustees and other responsible officers act in the best interests of the members. The SISA provides for the disqualification of individuals who have acted in a manner that contravenes the Act, ensuring accountability and integrity within the industry.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 (SISA) applies to responsible officers within corporate trustees of superannuation entities, as evidenced by the notice of disqualification issued to James Leocata. This legislation encompasses individuals who hold significant positions within entities that manage superannuation funds, ensuring compliance with the regulatory framework designed to protect retirement savings. The act operates on a national level across Australia, with its jurisdiction extending to all entities and persons involved in the management of superannuation funds within the Commonwealth. The disqualification provisions under the SISA serve to prevent individuals found to have contravened the act from continuing to act as trustees, investment managers, or custodians of superannuation entities, thereby safeguarding the interests of superannuation fund members. Additionally, the act includes provisions for the publication of such disqualifications, ensuring transparency and accountability within the industry. Exclusions or exemptions from these provisions are limited, as the act is designed to maintain stringent oversight over the superannuation industry.

Key Provisions

The primary operative sections in this notice include subsections 126A(2), 126A(6), and 126A(7) of the Superannuation Industry (Supervision) Act 1993 (SISA). Section 126A(2) allows for the disqualification of an individual from performing certain roles within a superannuation entity if they were a responsible officer at the time of the contraventions. Subsection 126A(6) mandates that a formal notice of this disqualification must be given to the individual concerned, providing details of the decision. Additionally, subsection 126A(7) requires that the details of this disqualification be published as a Notifiable Instrument in the Federal Register of Legislation. The Act imposes several obligations on James Leocata and any corporate trustee of which he was a responsible officer. Primarily, it requires compliance with the SISA to avoid any contraventions that could lead to disqualification. Once disqualified, James Leocata is prohibited from acting as a trustee, investment manager, or custodian of a superannuation entity, or serving as a responsible officer of a body corporate involved in such roles. This restriction is designed to ensure the integrity and proper management of superannuation entities. Breaches of these provisions are serious and can lead to significant consequences. Under section 126K of the SISA, it is an offence for a disqualified person to act in any capacity as a trustee, investment manager, or custodian of a superannuation entity, or as a responsible officer. The maximum penalty for this offence is two years imprisonment, underscoring the gravity of non-compliance. Furthermore, there is a provision for the disqualification to be revoked, either at the initiative of the delegate or upon written application by the disqualified person, as outlined in subsection 126A(5) of the SISA. In the event that James Leocata is dissatisfied with the disqualification decision, he has the right to request reconsideration under section 344 of the SISA. This request must be made in writing within 21 days of receiving notice of the decision and should include the reasons for believing the decision to be incorrect. This provides a mechanism for addressing any perceived injustices or errors in the decision-making process.