Notice of Disqualification –Sarah Davis - 13 June 2025

Overview

The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted by the Parliament of Australia to address the need for regulation and oversight of the superannuation industry. The legislation aims to ensure that trustees, investment managers, and custodians of superannuation entities act in the best interests of the members, maintaining the integrity and stability of the superannuation system. The Act provides a framework for the supervision of superannuation entities and the disqualification of individuals who fail to meet the required standards. This legislative instrument notifies Sarah Davis of her disqualification under the SISA due to contraventions that warrant such action. The disqualification, issued by a delegate of the Commissioner of Taxation, takes immediate effect and prohibits her from acting as a trustee, investment manager, or custodian of a superannuation entity, or as a responsible officer of such entities. The notice also informs her of the potential criminal penalties for non-compliance and the possibility of disqualification revocation under certain conditions. Those affected by the decision have the right to request a reconsideration by the Commissioner within 21 days of receiving the notice.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 (SISA) applies to individuals and entities involved in the administration, management, or governance of superannuation entities. Specifically, it targets trustees, investment managers, and custodians of superannuation funds, as well as responsible officers or corporate bodies acting in these capacities. The jurisdictional reach of the Act is Commonwealth, affecting individuals and entities across Australia. The disqualification provisions outlined in the Act are particularly relevant to those who have contravened its provisions, warranting disqualification under subsection 126A(2). This includes any person who has been found to contravene the Act's stipulations multiple times. The disqualification is immediate upon notice, as indicated in the notice to Sarah Davis. Disqualifications are also published as Notifiable Instruments in the Federal Register of Legislation, ensuring transparency and public notification. Notably, the Act provides for the possibility of revocation of disqualification either by the authority or upon written application by the disqualified individual. Furthermore, individuals who believe their disqualification is unjust have the right to request a reconsideration by the Commissioner within 21 days of receiving the notice.

Key Provisions

The notice issued under subsection 126A(6) of the Superannuation Industry (Supervision) Act 1993 (SISA) informs Sarah Davis that she has been disqualified from performing certain roles related to superannuation entities. This disqualification stems from the delegate’s satisfaction that Sarah has contravened the SISA on one or more occasions, leading to the decision to disqualify her under subsection 126A(2) of the Act. The disqualification becomes effective on the date of the notice, which is 13 June 2025. The Act imposes specific obligations on Sarah, prohibiting her from acting as a trustee, investment manager, or custodian of a superannuation entity, as well as from being a responsible officer or a body corporate involved in such roles. Under section 126K of the SISA, it is an offence for a disqualified person to engage in these activities while aware of their disqualification status. The potential consequence of such an offence is a maximum penalty of two years imprisonment, as stipulated in the Act. In addition to these provisions, the disqualification notice details, as per subsection 126A(7) of the SISA, will be published as a Notifiable Instrument in the Federal Register of Legislation. Sarah also has the right to request reconsideration of the disqualification decision under section 344 of the SISA. This request must be made in writing within 21 days of receiving the notice and should outline the reasons for dissatisfaction with the decision. Furthermore, the disqualification can be revoked either on the initiative of the relevant authorities or through a written application by Sarah, as outlined in subsection 126A(5) of the SISA.