Notice of Disqualification – John Rizkallah – 1 July 2026

Overview

The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted to establish a regulatory framework for the supervision and administration of superannuation funds in Australia, addressing gaps in the oversight of superannuation trustees, investment managers, and custodians. This Act was passed by the Parliament of Australia to ensure the protection of superannuation funds and the rights of superannuation fund members. The policy objective of the SISA is to maintain the integrity of the superannuation system and safeguard the interests of those who rely on these funds for their retirement. As part of its enforcement mechanisms, the SISA allows for the disqualification of individuals who have been responsible officers of corporate trustees that contravene the Act, ensuring accountability and deterrence within the industry.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 applies to individuals and entities involved in the superannuation industry, specifically targeting responsible officers of corporate trustees who manage superannuation entities. This act has a national reach throughout Australia, governing the conduct and transactions related to superannuation funds. The act includes provisions for disqualifying individuals who have been involved in contraventions of the Act, as demonstrated in the notice to John Rizkallah. This disqualification prohibits the individual from acting as a trustee, investment manager, or custodian of a superannuation entity, with serious penalties for non-compliance. The act allows for the disqualification to be revoked under certain conditions and provides a process for reconsideration of the decision by the Commissioner. Details of such disqualifications are published as Notifiable Instruments in the Federal Register of Legislation, ensuring transparency and accountability within the superannuation industry.

Key Provisions

The Superannuation Industry (Supervision) Act 1993 (SISA) contains several key provisions, particularly in relation to the disqualification of individuals from holding certain roles within superannuation entities. Section 126A(2) of the SISA provides the authority for the disqualification of an individual if they are found to be a responsible officer of a corporate trustee that has contravened the SISA. This disqualification is effective immediately upon notice, as detailed in section 126A(6), which also mandates the delivery of a formal notice to the disqualified individual. In this case, John Rizkallah has been notified of his disqualification by Ben Kelly, a delegate of the Commissioner of Taxation, under these provisions. Under the SISA, various obligations and requirements are imposed on the parties it governs. For example, responsible officers and corporate trustees must adhere to the SISA's regulations and standards to ensure the proper administration of superannuation entities. Failure to comply with these requirements can result in severe consequences, including disqualification. The Act also mandates that the disqualification of an individual must be communicated to them in writing, and such notices are to be published as a Notifiable Instrument in the Federal Register of Legislation, as per section 126A(7). The SISA imposes strict penalties for breaches of its provisions, particularly concerning the disqualification of individuals. Section 126K of the SISA outlines the offence of a disqualified person knowingly acting as a trustee, investment manager, or custodian of a superannuation entity. The maximum penalty for committing this offence is two years imprisonment, highlighting the seriousness with which the Act treats such violations. Additionally, section 126A(5) provides for the potential revocation of a disqualification, either on the initiative of the relevant authorities or upon the application of the disqualified person. For those affected by a disqualification decision, the SISA offers a recourse mechanism. Section 344 allows an individual to request a reconsideration of the decision by the Commissioner if they are dissatisfied with it. This request must be made in writing within 21 days of receiving notice of the decision and must outline the reasons for the perceived error. This provision ensures that affected individuals have an opportunity to challenge the decision and seek rectification if they believe it to be unjust.