NOTICE OF DISQUALIFICATION – Jocelyn Magsaysay - 15 June 2026

Overview

The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted by the Commonwealth Parliament to address significant governance and compliance issues within the superannuation industry, particularly focusing on the management and regulation of superannuation entities. This legislation was introduced to ensure the proper administration of superannuation funds, protect the interests of fund members, and maintain the integrity of the superannuation system. The SISA provides a framework for the supervision and regulation of superannuation entities, including trustees, investment managers, and custodians, and establishes mechanisms for enforcing compliance with superannuation laws. The policy objective behind the SISA is to safeguard the financial well-being of superannuation fund members by ensuring that those responsible for managing these funds adhere to stringent standards of conduct and accountability. The notice of disqualification under the SISA serves to protect the superannuation system by barring individuals found to have acted irresponsibly or in breach of the law from holding positions of trust and authority within the industry. This legislative measure is crucial in upholding the integrity of the superannuation sector, as it holds accountable those who fail to meet the required standards, thereby maintaining public confidence in the system and ensuring that the financial interests of superannuation fund members are protected. The disqualification process, as outlined in the SISA, provides a formal mechanism for addressing serious contraventions and serves as a deterrent against future misconduct.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 (SISA) applies to responsible officers of corporate trustees managing superannuation entities, with the disqualification notice being issued under subsection 126A(2) when a responsible officer is found to have contravened the Act. The disqualification, which takes immediate effect upon issuance, prohibits the disqualified person from acting as a trustee, investment manager, or custodian of any superannuation entity, or from being a responsible officer of such a body corporate. This Act operates on a national level and extends its reach to any individual or entity involved in the management and supervision of superannuation funds within Australia. Exclusions and exemptions from the Act’s provisions are not explicitly detailed in this notice; however, the Act’s application may be further defined or restricted through subordinate instruments, which are not outlined here. The seriousness of the contraventions must be sufficient to warrant disqualification, and such decisions can be subject to review by the Commissioner as stipulated in section 344 of the SISA. Additionally, the disqualification may be revoked under subsection 126A(5) either by the delegate on their own initiative or upon the written application of the disqualified person.

Key Provisions

The main operative sections of the Superannuation Industry (Supervision) Act 1993 (SISA) involved in this case are subsections 126A(2) and 126A(6). Section 126A(2) empowers the delegate of the Commissioner of Taxation to disqualify a person from being involved in the management of superannuation entities if they find that the person has contravened the SISA and that their conduct warrants disqualification. Subsection 126A(6) mandates that the delegate must notify the disqualified person in writing. This notification, as seen in the document, informs the person of their disqualification and the reasons behind it. The Act imposes several obligations and requirements on parties and entities it governs. For instance, it mandates that responsible officers of corporate trustees must ensure compliance with the SISA to avoid disqualification. Additionally, the Act requires trustees, investment managers, and custodians of superannuation entities to maintain high standards of conduct and governance. These obligations are essential to protect the interests of superannuation fund members and ensure the integrity of the superannuation system. Section 126K of the SISA sets out specific offences related to the disqualification of individuals. It is an offence for a disqualified person, who is aware of their disqualification, to act as a trustee, investment manager, or custodian of a superannuation entity, or to be a responsible officer of a body corporate that holds such roles. The maximum penalty for committing this offence is two years in jail, underscoring the seriousness with which the Act treats breaches of its provisions. In addition to criminal penalties, there are civil and administrative consequences for breach of the SISA. For instance, the document mentions that the details of the disqualification notice will be published as a notifiable instrument in the Federal Register of Legislation. This public notification serves as a deterrent and informs the public and industry participants of the disqualification. Furthermore, under section 344 of the SISA, a disqualified person has the right to request a reconsideration of the decision within 21 days of receiving the notice, providing a mechanism for review and potential rectification of the decision if it is found to be incorrect.