Notice of Refusal to Revoke Disqualification – Lynda Martin -17 November 2025

Overview

The Superannuation Industry (Supervision) Act 1993 was enacted to ensure the proper administration of superannuation funds by establishing a regulatory framework designed to maintain high standards of conduct and governance within the superannuation industry. The Act was introduced to address issues such as mismanagement, fraud, and the potential for financial harm to superannuation fund members, thereby safeguarding the retirement savings of Australians. The Parliament of Australia established this legislative framework to ensure that trustees and responsible officers of superannuation entities are fit and proper persons who adhere to strict standards of behaviour and accountability. The policy objective of the Act is to protect the interests of superannuation fund members by disqualifying unfit individuals from managing these funds and by providing mechanisms for oversight and enforcement. The refusal to revoke disqualification notice issued under the Act highlights its role in maintaining these standards by preventing disqualified individuals from assuming roles that could jeopardise the integrity of superannuation funds.

Scope and Application

The Superannuation Industry (Supervision) Act 1993 applies to individuals and entities involved in the administration and management of superannuation entities, including trustees and responsible officers. This legislation is of Commonwealth jurisdiction, impacting financial and investment entities across Australia. The Act's provisions extend to disqualifying individuals deemed unfit to manage superannuation funds, ensuring the integrity and proper management of superannuation entities. The Act includes provisions for the refusal to revoke disqualification of individuals such as Lynda Martin, ensuring that disqualified persons do not continue to participate in the administration of these funds. The geographic reach of the Act is national, applying to all superannuation entities and related officers throughout Australia. There are no stated exclusions or exemptions within the Act, though its application may be extended or restricted by subordinate instruments. The refusal to revoke disqualification notice, as in the case of Lynda Martin, is mandated to be published as a Notifiable Instrument in the Federal Register of Legislation.

Key Provisions

The Superannuation Industry (Supervision) Act 1993 (SISA) contains specific provisions regarding the disqualification of individuals from holding certain roles within superannuation entities. Section 126A(6) requires the Commissioner of Taxation, or a delegate, to notify a disqualified individual of a decision to not revoke their disqualification. This is exemplified in the notice to Lynda Martin, where Ben Kelly, as a delegate, informs her that her disqualification will not be revoked as he is satisfied she is not a fit and proper person to act as a trustee or responsible officer of a superannuation entity (subsection 126A(5)). Additionally, under subsection 126A(7), this refusal to revoke disqualification is to be published as a Notifiable Instrument in the Federal Register of Legislation. Under the SISA, the Act imposes several obligations on disqualified individuals. For instance, section 126K stipulates that it is an offence for a disqualified person, who is aware of their disqualification, to be or act as a trustee, investment manager, custodian, or responsible officer of a superannuation entity. These roles are critical in managing the financial and operational aspects of superannuation entities, and the Act aims to ensure that only suitable individuals hold these positions. Failure to comply with the provisions of the SISA can result in severe penalties. Section 126K explicitly states that knowingly acting in a prohibited capacity while disqualified is an offence. The maximum penalty for this offence is two years imprisonment, underscoring the seriousness with which the Act treats breaches of disqualification orders. This penalty serves as a deterrent to ensure compliance and protect the interests of superannuation fund members.