Notice of Disqualification - Janelle Alyssa De Marchi

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. The Act was introduced to safeguard the interests of superannuation fund members by ensuring that trustees, investment managers, and custodians adhere to stringent regulatory standards. The SISA aims to maintain the integrity and stability of the superannuation system, protect the rights and entitlements of members, and promote confidence in the industry. Enacted by the Parliament of Australia, the SISA provides the Commissioner of Taxation with the authority to disqualify individuals from participating in the management of superannuation entities if they are found to have engaged in serious misconduct or breaches of the Act. The disqualification serves as a deterrent and ensures that those entrusted with managing superannuation funds maintain the highest standards of conduct and compliance. The policy objective of the SISA is to uphold the financial security and welfare of superannuation members by enforcing rigorous oversight and accountability within the industry.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 (SISA) applies to responsible officers of corporate trustees of superannuation entities, including individuals and corporate bodies entrusted with the management and oversight of superannuation funds. The Act has a Commonwealth reach and applies nationally across Australia, with the aim of ensuring that the superannuation industry is supervised and regulated effectively. The Act can disqualify individuals from acting as responsible officers if there have been breaches of the legislation by the corporate trustee entities they are associated with, particularly if the contraventions are serious enough to warrant such action. The disqualification is immediate and can be published in the Commonwealth Government Notices Gazette. The Act also provides for the potential revocation of disqualification and allows for appeals against the decision within 21 days of receiving notice. Notably, the Act does not specify any exclusions, exemptions, or thresholds for the application of its provisions, and its application can be extended or restricted through subordinate instruments.

Key Provisions

The Superannuation Industry (Supervision) Act 1993 (SISA) includes provisions for the disqualification of individuals who have been responsible officers of corporate trustees that have contravened the Act (sections 126A(2) and 126A(6)). In this case, Janelle Alyssa De Marchi has been disqualified by Emma Rosenzweig, a delegate of the Commissioner of Taxation, because it was found that the corporate trustee of one or more superannuation entities had contravened the SISA, and Ms De Marchi was a responsible officer at the time of the contraventions. The seriousness of the contraventions provided grounds for her disqualification. The disqualification takes immediate effect from the date of the notice. Under the SISA, Ms De Marchi is now prohibited from being or acting as a trustee, investment manager or custodian of a superannuation entity, or a responsible officer of a body corporate that holds such roles (section 126K). This prohibition applies even if she is aware that she has been disqualified. Should she contravene this provision, she faces potential criminal penalties, including up to two years imprisonment (section 126K). The Act also provides for the possibility of revocation of the disqualification. The disqualification may be revoked either on the initiative of the Commissioner or upon a written application from Ms De Marchi (subsection 126A(5)). Furthermore, if Ms De Marchi is dissatisfied with the decision to disqualify her, she has the right to request a reconsideration of the decision by the Commissioner within 21 days of receiving the notice (section 344). This request must be made in writing and must outline the reasons why she believes the decision is incorrect.