In the media
Do industry funds now have an advice advantage?
On the back of the Association of Financial Advisers'
(AFA's) strong rebuttal of Industry Super
Australia (ISA) calls for a rapid end to all
grandfathered commissions, some advisers are warning that salaried
industry fund advisers now have a significant advantage (03 May
2019).
More...
APRA confirms super funds performance review
Superannuation funds will be required to undertake an
annual Business Performance Review under new guidelines issued by
the APRA consistent with the recent passage of the Government's
Treasury Laws Amendment (Improving Accountability and Member
Outcomes in Superannuation Measures No.1 Bill 2019)(03 May 2019).
More...
More change ahead for superannuation governance
The Australian Prudential Regulation Authority
(APRA) has warned that, while the 2013 prudential
framework has led to some improved practices across the
superannuation industry, further enhancements are needed for it to
remain fit for purpose (02 May 2019).
More...
Announcing Kathy Bowlen as the new executive general
manager - Communications and stakeholder relations
The Australian Financial Complaints Authority is pleased
to announce the appointment of Kathy Bowlen as the inaugural
Executive General Manager – Communications and Stakeholder
Relations (02 May 2019).
More...
Backdown on banning conflicted financial advice will
leave consumers exposed
Thousands of consumers of financial products, including
superannuation, will remain exposed to conflicted financial advice
if proposed regulations on grandfathered conflicted remuneration
get the green light, the Australian Institute of Superannuation
Trustees has warned (01 May 2019).
More...
Don't incentivise planners via commission rebates
says ISA
The Productivity Commission sees insurance as a key issue
impacting superannuation fund member returns and intends examining
the value for money actually delivered. Government proposals to
rebate grandfathered commissions to clients via product providers
would represent a significant abrogation of one of the key
recommendations of the Royal Commission, according to Industry
Super Australia (ISA) ( 01 May 2019).
More...
Sydney wealth manager cops licence suspension
ASIC has suspended the Australian Financial Services
licence of a financial advice dealer group for breaching its
obligations and failing to obtain AFCA membership. According to the
corporate regulator, AWSM had breached its financial reporting and
audit obligations and the requirement to obtain membership of the
Australian Financial Complaints Authority (AFCA)
(29 April 2019).
More...
ASIC bans two Sydney men from providing financial
services for six years
ASIC has banned Mr Jeffrey Worboys and Mr Matthew Barnett
from providing financial services for six years following an ASIC
investigation (29 April 2019).
More...
AFA accuses Government of interfering in AFSL
contracts
The Federal Government has been accused of unilaterally
seeking to alter the contract which exists between Australian
Financial Services Licensees and the Australian Financial
Complaints Authority (AFCA) by allowing the
authority to deal with complaints dating back to 2008 (29 April
2019).
More...
APRA issues IOOF super entities with 'show
cause' notice
The company said that the APRA-regulated subsidiaries had
received a show cause notice from APRA which reflected the
Independent Reviewer's report and also indicated that the
regulator had formed the preliminary view that the entities had
breached their license conditions relating to the Office of the
Superannuation Trustee (26 April 2019).
More...
Are financial planners facing double jeopardy?
The risk of double jeopardy for financial planners sits at
the heart of the Financial Planning Association's
(FPA's) concerns about the Australian
Financial Complaints Authority (AFCA) dealing with
complaints dating back as much as 10 years (24 April 2019).
More...
ASIC bans Gold Coast financial adviser
ASIC has banned Rodney Peters, of Queensland, from
providing financial services for 6 years. The delegate determined
that Mr Peters, in engaging in excess of 1,000 options trades on
behalf of a number of clients between April 2015 and April 2016,
had not complied with financial services law (23 April 2019).
More...
FPA raises concerns about impact of AFCA legacy
complaints rule changes on professional indemnity market
The FPA has raised concerns about the Australian Financial
Complaints Authority's (AFCA) proposed legacy
complaints rule changes and the potential impact they will have on
the professional indemnity (PI) costs for
financial planners (23 April 2019).
More...
In practice and courts
AASB-AUASB climate-related risks disclosure update
The AASB and AUASB have released the latest version of
Climate-related and other emerging risks disclosures: assessing
financial statement materiality using AASB/IASB Practice Statement
2. This research paper, originally published in December 2018,
contains several updates and guides directors, preparers and
auditors when preparing and auditing financial statements. Even
though the guidance is not mandatory, it represents the IASB's
best practice interpretation of materiality (02 May 2019).
Super scandal: unpaid super guarantee in 2016-17
Industry Super Australia: 03 May 2019
This analysis of Australian Taxation Office (ATO)
data on individuals has found the unpaid super crisis did not
improve in 2016-17, with 2.85 million Australians being
short-changed $5.94 billion in super entitlements. More...
APRA: Post-implementation review of APRA's
superannuation prudential framework
Information paper: Review of APRA's 2013
superannuation prudential framework was released on 30 April 2019.
See the paper
here
ACSI: Towards better corporate accountability
This policy lists tangible proposals designed to
strengthen corporate accountability. Improving corporate
accountability will drive better outcomes for companies, investors
and the Australian community more broadly (29 April 2019).
More...
Australian Law Reform Commission (ALRC): Review into
Australia's corporate criminal responsibility regime
Note: Scope of the reference -The reports which the ALRC
should consider should include but not be limited to the: 2019
Final report of the Royal Commission into Misconduct in the
Banking, Superannuation and Financial Services Industry; and 2017
report of the ASIC Enforcement Review Taskforce. The ALRC should
provide its report to the Attorney-General by 30 April 2020.
More...
APRA consultation: The Financial Sector (Shareholdings)
Rules 2019 (the Rules)
In particular, APRA has proposed Rules setting out the
matters that must be considered in determining if a person is
"fit and proper" for the purposes of the FSSA. The
consultation period on the proposed Rules has now commenced, with
APRA accepting submissions until 27 May 2019. Copies of the draft
Rules and explanatory material are available
here
ASFA reminder: Recovering your unclaimed money
From the 27th June 2019 applications for unclaimed monies
under s254 of the Bankruptcy Act can be made directly to Australian
Financial Security Authority (AFSA) replacing the
current Court application process. An application form and further
information about the new process will be published closer to the
commencement date.
More...
IFAC: Global consultation on quality management for
firms and engagements now open
The International Auditing and Assurance Standards Board
(IAASB) seeks public comment by July 1, 2019 on three interrelated
standards that address quality management. The proposals bring
important changes to the way professional accountancy firms are
expected to manage quality - for audits, reviews, and other
assurance and related services engagements.
FPA submissions
Ending Grandfathered Conflicted Remuneration for Financial
Advisers - Treasury - 24 April 2019
AFCA Rules Change – Legacy complaints - AFCA - 23 April
2019
AFCA current matters
Digital
Rebl Pty Ltd and Media Rebl Pty Ltd
Forex
Capital Trading Pty Ltd
AGM
Markets Pty Ltd
Berndale
Capital Securities Pty Ltd
Bestjet
Travel Pty Ltd (Bestjet)
Viewble
Media and the Shoppers Network
AIST submissions
AIST strongly believes that the public comparative
reporting of complaint data is an important component of the
financial services system. Accordingly, AIST has recommended that
the public report contains additional data such as which sector
generated complaints. AIST seeks a roundtable to discuss any draft
of the public report including a suitable reporting model for
extended services or groups. There should be a biennial review of
the report.
More...
Gazette - Superannuation Industry (Supervision) Act 1993
01 May 2019
Notice of Disqualification - Carolyn Leach; Gregory Leach;
Paula Lancaster
23 April 2019
Notice of Disqualification - Ronelle Adamson; Nicholas
Adamson
Cases
HILL and Tax Practitioners Board (Taxation)
[2019] AATA 756
POLICY AND PROCEDURE - stay application - tax agent
registration cancellation - whether decision to cancel tax agent
registration should be stayed - whether decision to prevent
reapplying for tax agent registration for five years should be
stayed - conduct of personal affairs - prospects of success –
public interest - futility of stay - stay rejected -
Administrative Appeals Tribunal Act 1975 (Cth) s 41
The Board's 10 January 2019 decision (c) had been personally
culpable (again in his role as a director and tax agent) in the
non-remission of (and non payment relating to) superannuation
guarantee charge payments and liabilities.
Legislation
Commonwealth
Act Compilation
Superannuation Industry (Supervision) Act
1993
24/04/2019 - Act No. 78 of 1993 as amended - This is a compilation
of the Superannuation Industry (Supervision) Act 1993 that
shows the text of the law as amended and in force on 6 April
2019.
This publication does not deal with every important topic or change in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you have found this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances please contact one of the named individuals listed.
