Notice of Disqualification – Skye McCorriston - 2 July 2025

Overview

The Superannuation Industry (Supervision) Act 1993 (SISA) was enacted by the Parliament of Australia to address the need for robust regulation and oversight of the superannuation industry. The Act was introduced to ensure the protection of superannuation fund members by establishing a regulatory framework that mandates the proper management and administration of superannuation entities. This includes the supervision of trustees, investment managers, and custodians to maintain the integrity and security of retirement savings. The policy objective of the SISA is to safeguard the interests of superannuation fund members and promote the efficient, honest, and economical management of superannuation funds. The Act empowers the Commissioner of Taxation to disqualify individuals who are deemed unfit to hold responsible positions within superannuation entities, thereby maintaining high standards of professional conduct and compliance within the industry.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 (SISA) applies to individuals and corporate entities involved in the administration of superannuation entities, including trustees, investment managers, custodians, and responsible officers. The Act has a Commonwealth reach, extending across Australia to ensure compliance and proper governance within the superannuation industry. This legislation imposes obligations on these entities to manage superannuation funds responsibly and ethically, and it includes provisions for disqualifying individuals who are found to be unfit to hold responsible positions within these entities. The disqualifying provisions are particularly stringent, targeting those who have contravened the Act's requirements or who are deemed unfit to manage superannuation funds. The Act also includes measures for the publication of disqualification notices as Notifiable Instruments, ensuring transparency and accountability. Additionally, the Act stipulates severe penalties, including imprisonment, for disqualified individuals who continue to act in their prohibited capacities. The Act allows for the revocation of disqualifications under certain conditions and provides avenues for appeal to the Commissioner for those dissatisfied with the decision.

Key Provisions

The Superannuation Industry (Supervision) Act 1993 (SISA) contains various provisions governing the supervision of superannuation entities, and one of its key sections, section 126A, deals with the disqualification of individuals from holding certain roles within superannuation entities. Under this section, a person can be disqualified from being a trustee, investment manager, custodian, or a responsible officer of a body corporate that holds such roles if the person is deemed unfit or has contravened the SISA. This is evident in the notice of disqualification issued to Skye McCorriston, where she has been disqualified due to contraventions by the corporate trustee and her unfitness to hold such roles (subsections 126A(2) and 126A(3)). The obligations imposed by the Act on individuals like Skye McCorriston include maintaining the highest standards of conduct and compliance with the SISA. As a responsible officer, Skye would have been expected to ensure that the corporate trustee adhered to all relevant laws and regulations. This includes being vigilant about any activities that could lead to contraventions of the SISA and taking appropriate actions to prevent or rectify such issues. The disqualification notice clearly states that Skye was a responsible officer at the time of the contraventions, which further underscores the importance of her role and the responsibilities that came with it. Failure to comply with the Act, such as continuing to act as a trustee or responsible officer after being disqualified, can result in severe consequences. Section 126K of the SISA stipulates that it is an offence for a disqualified person to act in any of these capacities, with the maximum penalty being two years imprisonment. This underscores the seriousness with which the Act treats breaches of its provisions. Additionally, the disqualification notice itself is published as a Notifiable Instrument in the Federal Register of Legislation, serving as a public record of the disqualification and the reasons behind it. There are also provisions for the disqualification to be reviewed or revoked. Subsection 126A(5) of the SISA allows for the disqualification to be revoked either on the initiative of the Commissioner or upon a written application by the disqualified person. This offers a potential avenue for Skye to challenge the decision if she believes it to be unjust or if she can demonstrate that she is now fit and proper to hold such roles again. Furthermore, under section 344 of the SISA, Skye has the right to request a reconsideration of the decision if she is unsatisfied with it, provided she makes this request in writing within 21 days of receiving the notice and provides reasons for her dissatisfaction.