NOTICE OF DISQUALIFICATION
Superannuation Industry (Supervision) Act 1993
To:
Mr Russell J Browning
HAWTHORNE QLD 4171
I, James O'Halloran, a delegate of the Commissioner of Taxation, give you notice as required by subsection 126A(6) of the Superannuation Industry (Supervision) Act 1993 (SISA), that I have disqualified you under subsection 126A(3) of the SISA.
I have disqualified you as I am satisfied that you are not a fit and proper person to be a trustee or a responsible officer of a body corporate that is a trustee, of a superannuation entity for the purposes of the SISA.
The disqualification takes effect on the day on which it is made.
Dated: 29 September 2016
James O'Halloran
Deputy Commissioner of Taxation
Per Bernard Morrison
Note 1:
Under subsection 126A(7) of the SISA, details of this disqualification notice will be published in the Commonwealth Government Notices Gazette.
Note 2:
Under section 126K of the SISA, it is an offence for a disqualified person, who knows that he or she is a disqualified person, to be, or act as a:
trustee, investment manager or custodian of a superannuation entity
responsible officer or a body corporate that is a trustee, investment manager or custodian, of a superannuation entity
The maximum penalty for committing this offence is two years jail.
Note 3:
Under subsection 126A(5) of the SISA, we may revoke this disqualification on our own initiative or on your written application.
Note 4:
Under section 344 of the SISA, if you are affected by this decision and are not satisfied with it, you can ask the Commissioner to reconsider the decision. This request must be made in writing within 21 days of receiving notice of this decision and must give the reasons you think the decision is wrong.
Overview
The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted by the Parliament of Australia to address issues related to the supervision and regulation of superannuation funds. This legislation was introduced to ensure that trustees and responsible officers of superannuation entities are fit and proper persons, thereby protecting the interests of superannuation fund members. The Act provides mechanisms to disqualify individuals who are deemed unsuitable for these roles. The SISA outlines a range of penalties for non-compliance, including criminal offences that can result in imprisonment. The Act empowers the Commissioner of Taxation to disqualify individuals and to publish such disqualifications, ensuring transparency and accountability within the superannuation industry. The policy objective is to maintain high standards of conduct and integrity among those who manage superannuation funds.
Scope and Application
The Superannuation Industry (Supervision) Act 1993 (SISA) applies to trustees, responsible officers, and relevant entities involved in the administration and management of superannuation funds in Australia. The Act covers individuals and corporate bodies that act as trustees, investment managers, or custodians of superannuation entities, ensuring that they meet the regulatory standards required to protect the interests of superannuation fund members. The Act has a national jurisdictional reach, impacting all superannuation entities operating within Australia, regardless of state or territory boundaries. The Act includes provisions for disqualifying individuals deemed unfit to hold positions of trust or responsibility within the superannuation industry, and it sets out the penalties for those who contravene these disqualifications. Additionally, the Act allows for the revocation of disqualifications and provides avenues for reconsideration of decisions by affected parties. This legislative framework ensures the integrity and proper management of superannuation funds across the nation.
Key Provisions
The Superannuation Industry (Supervision) Act 1993 (SISA) outlines various provisions for the supervision of superannuation entities. Section 126A(3) and (6) are particularly relevant in this context. Under these sections, a person can be disqualified from acting as a trustee or responsible officer of a superannuation entity if it is determined that they are not a fit and proper person to hold such a role. This disqualification is issued by a delegate of the Commissioner of Taxation, as demonstrated in the notice given to Mr Russell J Browning. The disqualification becomes effective on the day it is issued, thereby immediately barring the individual from engaging in the specified activities.
The obligations imposed by the SISA on individuals like Mr Browning include maintaining the standards of fitness and propriety required to act in a supervisory capacity for superannuation entities. This entails adhering to certain ethical and professional standards that ensure the integrity and proper management of superannuation funds. The act demands that trustees and responsible officers conduct themselves in a manner that is beyond reproach and is conducive to the trust placed in them by the superannuation members. Failure to meet these standards can lead to disqualification, as was the case here.
In terms of legal consequences, Section 126K of the SISA stipulates that it is an offence for a disqualified person to act as a trustee, investment manager, or custodian of a superannuation entity, or to be a responsible officer or part of a body corporate that manages such entities. The penalties for such an offence are severe, with a maximum penalty of two years imprisonment. This underscores the seriousness with which the Act treats breaches of disqualification orders. Additionally, under Section 344 of the SISA, Mr Browning has the right to request a reconsideration of the disqualification decision if he believes it to be unjust, provided he submits his request within 21 days of receiving the notice. This ensures a mechanism for appeal, allowing for a review of the decision-making process.