NOTICE OF DISQUALIFICATION
Superannuation Industry (Supervision) Act 1993
To:
MR VAN LE
ST ALBANS VIC 3021
I, Alison Lendon, 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 made a decision to disqualify you from being a trustee or a responsible officer of a body corporate that is a trustee, investment manager or custodian, of a superannuation entity.
I have disqualified you under subsection 126A(1) of the SISA as I am satisfied that you have contravened the SISA on one or more occasions and the seriousness of the contraventions provides grounds for disqualifying you.
The disqualification order takes effect on the day on which this notice is made.
Dated: 17 August 2015
Alison Lendon
Deputy Commissioner of Taxation
Per Paul Cipolla
Note 1:
In accordance with subsection 126A(7) of the SIS Act, particulars of this disqualification notice will be published in the Gazette.
Note 2:
In accordance with subsection 126A(5) of the SIS Act, we may revoke this disqualification order on our own initiative or on written application made by you.
Note 3:
In accordance with section 344 of the SIS Act, if you are a person who is affected by this decision and you are dissatisfied with it, you may ask the Commissioner to reconsider this decision. Such a request must be made in writing within 21 days of the day on which you received notice of the decision and must also give the reasons for making the request.
Overview
The Superannuation Industry (Supervision) Act 1993 was enacted by the Commonwealth Parliament to address the need for effective oversight and regulation of the superannuation industry in Australia. The Act was designed to protect the interests of superannuation fund members by ensuring that trustees and responsible officers of superannuation entities act with integrity and in the best interests of the fund members. The legislation establishes a framework for the supervision and regulation of the superannuation industry, with a focus on ensuring that trustees and responsible officers comply with their legal and ethical obligations. The policy objective of the Act is to promote the proper management and administration of superannuation funds, and to provide a mechanism for the disqualification of individuals who have engaged in misconduct or who are otherwise unfit to hold positions of responsibility in the superannuation industry. The Act empowers the Commissioner of Taxation to disqualify individuals from being trustees or responsible officers of superannuation entities, where it is satisfied that the individual has contravened the provisions of the Act and the seriousness of the contraventions provides grounds for disqualification.
Scope and Application
The Superannuation Industry (Supervision) Act 1993 (SISA) applies to individuals and entities involved in the supervision and management of superannuation funds, including trustees, investment managers, and custodians of superannuation entities. The Act operates at a Commonwealth level, impacting financial entities and professionals across Australia. It does not specify exclusions or exemptions within the notice itself, but rather focuses on disqualifying specific individuals found to have contravened the Act. The Act’s reach is extended through subordinate instruments that provide further detail on the disqualifying criteria and the process for disqualification. The notice to Mr Van Lest Albans indicates that he has been disqualified due to breaches of the Act, with the decision taking immediate effect. This disqualification order may be subject to revocation or reconsideration as outlined in the notice, reflecting the procedural safeguards embedded within the legislation.
Key Provisions
The primary operative sections of the Superannuation Industry (Supervision) Act 1993 (SISA) involved in this case are sections 126A(1) and 126A(6). Section 126A(1) empowers the Commissioner of Taxation to disqualify an individual from holding certain roles within a superannuation entity if it is determined that the individual has contravened the SISA. Section 126A(6) mandates that a written notice of the disqualification must be provided to the affected individual, as seen in the notice to Mr. Van Lest Albans. This notice informs him that he has been disqualified from serving as a trustee or responsible officer of a superannuation entity due to multiple contraventions of the SISA.
The Act imposes several obligations on the parties it governs. Trustees, investment managers, and custodians of superannuation entities must ensure that they comply with all provisions of the SISA. This includes maintaining proper records, acting in the best interests of the beneficiaries, and adhering to the ethical and professional standards set out in the Act. Mr. Van Lest Albans, as a disqualified individual, is now prohibited from taking on any role that would involve him managing or influencing the affairs of a superannuation entity.
Failure to comply with the SISA can result in severe consequences. Section 126A(1) allows for the disqualification of individuals who have contravened the Act, effectively barring them from participating in the superannuation industry. Additionally, the Act may impose financial penalties for breaches, and in serious cases, criminal charges may be pursued. The severity of the penalties can vary depending on the nature and extent of the contravention, but the Act provides for significant deterrents to ensure compliance. The notice to Mr. Van Lest Albans indicates that his disqualification is a direct consequence of his breaches of the SISA, highlighting the importance of adherence to its provisions.