Australia: Superannuation & Funds Management - What's News - 18 September 2012

Last Updated: 23 September 2012
Article by Jenny Willcocks

Most Read Contributor in Australia, September 2016

In the media

FSC policy compounds APRA 'weakness': academic
MEDIA – 14 September 2012 - The Financial Services Council's (FSC) draft Standard of Superannuation Governance Policy compounds the weaknesses in the standards on board independence by APRA, a corporate governance academic has stated. The FSC's draft will let banks or insurers appoint directors to board of RSE licensees who may be members of the board of the listed bank or insurer. More...

Shorten defends low-income super contribution
MEDIA- 14 September 2012 - Amid speculation that some parts of the super tax system may be called on to fund recent health and education projects, Minister for Financial Services Bill Shorten has declared the rebate for low-income earners safe. Minister Shorten said the low-income super contribution (LISC), which commenced on 1 July 2012, will build the wealth of some 3.6 million of the lowest paid workers by almost $1 billion a year. More...

Regulator may win power to fire foreign bank boards during crisis
MEDIA – 13 September 2012 - The banking regulator could gain the power to sack the boards of foreign-owned banks operating in Australia in times of crisis, under sweeping new proposals released by the government. The $1.4 trillion superannuation industry could also face tougher restrictions, with the proposed rules letting regulators remove individual trustees or directors who threaten financial stability. More...

APRA needs a bigger tool kit
MEDIA – 14 September 2012 - In the released Treasury paper which questions the mostly undeclared method of dealing with the failure of banks, Strengthening APRA's Crisis Management Powers, the paper, recommends a host of changes to the legislation under which APRA operates, to ensure it has sweeping power to swiftly intervene when needed. More...

Strengthening APRA's crisis management powers
DEPARTMENT OF THE TREASURY - 12 September 2012 - The Government has released this paper seeking stakeholder views on a range of options directed primarily at strengthening Australia's framework for financial regulation. More...

Financial Services Council rejects criticism of its super governance policy
FINANCIAL SERVICES COUNCIL – 12 September 2012 - The Financial Services Council has rejected the criticism of its Superannuation governance policy as uninformed and incorrect, stating their superannuation governance policy adopts ASX Corporate Governance Council, Corporations Act and APRA definitions of independence. More...

Governance and disclosure must place interests of members first
INDUSTRY SUPER NETWORK – 12 September 2012 - A new Financial Services Council policy on superannuation governance proposes to allow retail super funds to appoint 'in-house' directors to their boards and therefore fails to address one of the major governance issues for retail super funds, namely the tension between their legal obligation to maximise shareholder returns according to the Industry Super Network. More...

Move to ramp up finance regulator's power
MEDIA – 12 September 2012 - Proposals released in a discussion paper today to muscle up the Australian Prudential Regulation Authority's powers and reduce red tape by simplifying its regulatory powers across the various acts it administers, will spark huge interest within the industry between now and the December closing date for submissions. More...

Proposed amendments to clearing and settlement facilities guidance
11 September 2012 – The regulator has issued a consultation paper proposing amendments to our regulatory guidance for clearing and settlement facilities to take into account updated international standards and recent Council of Financial Regulators policy. More...

Review of risk management in the funds management sector
ASIC – 10 September 2012 – The regulator has emphasised the importance of responsible entities in the funds management sector maintaining adequate risk management systems following a proactive review. Review of risk management in the funds management sector

Superannuation promises fall short for COSBOA
SUPERREVIEW – 11 September 2012 - The Council of Small Business of Australia (COSBOA) has demanded superannuation funds take more responsibility for the contributions process from small business owners. More...

SPAA warns against further changes to superannuation
SPAA – 10 September 2012 - SMSF Professionals Association of Australia has warned against further changes to superannuation following media reports that the Federal Government was considering cutting tax breaks, particularly for self managed super funds, to pay for its policies on education and disability. More...

Super Roundtable agrees to promote Small Business Clearing House
BILL SHORTEN – 07 September 2012 - The Gillard Government made further progress towards smarter, simpler, and fairer superannuation with the fourth meeting of the Superannuation Roundtable. A key outcome was that the Roundtable representatives, including those representing accountants, the not-for-profit sector and the super industry, agreed to a COSBOA proposal to better promote the Government's small business clearing house. More...

Australia's superannuation reporting ineffective: CPA Australia
CPA – 05 September 2012 - Reporting by most of Australia's $1.4 trillion superannuation industry remains ineffective in enlightening members about the performance of their superannuation funds and in enabling members to better understand the management of their retirement savings, says CPA Australia Policy Adviser (05 September 2012). Practical issues exist in unraveling the complex business structures within which superannuation entities operate to extract the relevant information for disclosure. More...

FSC Superannuation Governance Policy
Author: Financial Services Council (FSC): ISN Briefing Note
A draft Standard on Superannuation Governance Policy (September 2012). More...

Consultation paper on APRA's resolution powers
The Minister for Financial Services and Superannuation has released for public consultation a paper titled Strengthening APRA's Crisis Management Powers which seeks comments on a range of options to enhance Australia's financial sector, particularly prudential regulation.

The consultation paper can be accessed here. Strengthening APRA's Crisis Management Powers

The closing date for submissions is 14 December 2012 (12 September 2012).

ASIC review: risk management in the funds management sector
ASIC has emphasised the importance of responsible entities in the funds management sector maintaining adequate risk management systems following a proactive review. The findings of ASIC's review are contained in Report 298 Adequacy of risk management systems of responsible entities ASIC has also indicated its intention to develop good practice guidance on risk management systems for responsible entities in 2013 (10 September 2012). Review of risk management in the funds management sector


Denehy and Superannuation Complaints Tribunal and FSS Trustee Corporation as Trustee for The First State Superannuation Scheme [2012] AATA 608
FREEDOM OF INFORMATION - Request to Superannuation Complaints Tribunal for documents obtained from superannuation fund and its trustee in course of review of complaint - exemptions claimed - unreasonable disclosure of personal information – legal professional privilege – unreasonable disclosure of business affairs – whether document can be released with appropriate deletions of irrelevant or exempt material – decision varied.
FREEDOM OF INFORMATION – Legal professional privilege - whether privilege abrogated by statute - no abrogation – whether production under mistaken belief that required waived privilege – privilege not waived.
FREEDOM OF INFORMATION – Context in which information obtained by Superannuation Complaints Tribunal and restrictions on its disclosing information relevant in assessing whether disclosure under FOI Act unreasonable.
FREEDOM OF INFORMATION – Statutory regulation of trustee and its statutory obligations to disclose information relevant in assessing whether disclosure under FOI Act unreasonable. More...

Whitfield and Commonwealth Superannuation Corporation [2012] AATA 613
MILITARY SUPERANNUATION - Applicant required to elect whether or not to become a member of Military Superannuation Benefits Scheme prior to resuming service - Respondent did not receive election form by due date - Ceased membership of Defence Force Retirement and Death Benefits at relevant date - Automatic transfer to Military Superannuation Benefits Scheme - Overpaid pension - Debt waived - Decision under review is set aside. More...

Communications, Electrical, Electronic, Energy, Information, Postal and Allied Services Union of Australia v Dee Vee Pty Ltd [2012] FCA 988
INDUSTRIAL LAW – Allegation that termination constituted adverse action in contravention of the Fair Work Act 2009 (Cth) - applicants alleged that Dee Vee had terminated Mr Damen's services because he had exercised his right to assert an entitlement to superannuation payments and higher remuneration, because he was a member of the Union and/or that he had engaged in or proposed to engage in industrial activity in pursuit of his claims to be entitled to benefits under the Award. More...



Legislative Instruments

Anti-Money Laundering and Counter-Terrorism Financing Rules Amendment Instrument 2012 (No. 4)
These rules amend the Anti-Money Laundering and Counter-Terrorism Financing Rules Instrument 2007 (No. 1) to amend chapters 27, 51, 56, 57 and 63 and add a new chapter 68. Administered by: Attorney-General's Made 04 Sep 2012 Registered 06 September 2012. More...

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