In the media
ASIC cancels AFS licence of Perth-based Platinum
Perpetual Global Private Wealth
ASIC has cancelled the Australian financial services
licence of Platinum Perpetual Global Private Wealth Pty Ltd, based
in Perth (AFSL 508415). It is alleged by WAPF that the advisor
misappropriated approximately $948,236.96 of clients' funds
without authority to do so (04 September 2019).
More...
Suncorp completes Guardian Advice remediation
program
Suncorp Life and Superannuation Limited (Suncorp) has
recently completed a remediation program, which impacted over 4,000
clients of Suncorp-owned GuardianFP Limited (Guardian Advice).
Suncorp paid $1,431,167 in compensation to Guardian Advice clients
who had received poor advice (04 September 2019).
More...
ACCC finds consumers are paying too much in foreign
transaction fees
This is the first report of its kind released by the ACCC
that finds Australians are paying too much for foreign currency
conversion services, particularly for international money
transfers, and the main beneficiaries are the major banks (02
September 2019).
More...
29 financial firms breach AFCA member requirements
The Australian Financial Complaints Authority has named 29
financial firms who have failed to pay complaint-related charges,
breaching AFCA membership requirements (02 September 2019).
More...
FASEA transition extension welcome, says CPA
Australia
CPA Australia has welcomed and said it supports the
Federal Government's announcement of an extension to the
transition period for registered financial advisers to meet the
examination and education requirements of the new standards (31
August 2019 ).
More...
Reforms to professional standards for financial
advisers
The Morrison Government is committed to restoring trust
and confidence in Australia's financial system, as part of its
plan for a stronger economy. A key part of this is ensuring we
continue to build trust in financial advice as a true profession
(30 August 2019).
More...
FSC welcomes extended transition to Professional
Standards
The Financial Services Council (FSC)
welcomed the Morrison Government's decision to extend the
transitional provisions for the new education requirements that
have been set for the industry (01 September 2019).
More...
Government extends FASEA deadlines
Exam deadline extended by 12 months to 1 January 2022 and
education deadline extended by 24 months to 1 January 2026. The FPA
welcomes the Government's announcement that it will give
existing financial planners more time to pass the Financial Adviser
Standards and Ethics Authority (FASEA) exam (30th
August 2019). More...
Reforms to professional standards for financial
advisers
The Government has already implemented or is taking action
on several reforms that aims to improve the quality of financial
advice, eliminate misconduct in the financial advice industry,
including the establishment of the Financial Adviser Standards and
Ethics Authority (FASEA) (30 August 2019).
More...
ASIC/APRA focus on super underperformance
Just a day after the Australian Securities and Investments
Commission (ASIC) signalled a tough approach on
super fund underperformance, the Australian Prudential Regulation
Authority (APRA) has sent a similar message to the
sector (29 August 2019).
More...
APRA releases 2019-2023 Corporate Plan
The Australian Prudential Regulation Authority
(APRA) has published its updated Corporate Plan
with a sharpened focus on regulating non-financial risks and
improving outcomes for superannuation members (29 August 2019).
More...
APRA finalises revised measures to strengthen outcomes
for superannuation members
The Australian Prudential Regulation Authority
(APRA) has finalised changes to its requirements
for how superannuation licensees assess the outcomes they are
delivering to their members (28 August 2019).
More...
Bundaberg financial adviser banned for four years
ASIC found that Mr Goudie failed to comply with financial
services laws including the requirement to comply with the best
interests duty and to prioritise his clients' interests (27
August 2019).
More...
FASEA extends education credits for FPA CFP
coursework
The FPA is delighted to announce that its application to
the Financial Adviser Standards and Ethics Authority
(FASEA) to extend recognition of the CERTIFIED
FINANCIAL PLANNER® coursework prior to 2003 has been approved
(27 August 2019).
More...
Fairer outcomes for consumers with new ASIC power
The Australian Financial Complaints Authority has strongly
welcomed ASIC's new product intervention power in a submission
(27 August 2019).
More...
Taking action on the Financial Services Royal
Commission
The Morrison Government is releasing exposure draft
legislation today that will improve outcomes for consumers by
introducing a best interests duty for mortgage brokers and
reforming mortgage broker remuneration. The exposure draft
legislation is available on the Treasury
website (27 August 2019).
More...
Consumers see value in financial advice, but lack of
trust remains an issue
New ASIC consumer research released today reveals the
barriers faced by consumers when considering financial advice (26
August 2019).
More...
ASIC approves AFCA rule change enabling the naming of
firms
ASIC has approved changes to the Australian Financial
Complaints Authority (AFCA) Rules to allow the
scheme to name financial firms in published determinations (26
August 2019).
More...
AFCA to name financial firms in determinations
The Australian Financial Complaints Authority will begin
naming financial firms in its published determinations to increase
transparency in the financial sector and enhance consumer
confidence (26 August 2019).
More...
In practice and courts
APRA Corporate Plan 2019-2023
The Corporate Plan sets out a roadmap for reinforcing
APRA's strong track record of safeguarding financial stability,
while lifting its capabilities in other key areas to better address
emerging and future challenges. The Plan identifies four areas of
strategic focus aimed at strengthening outcomes for the Australian
community.
The 2019-2023 Corporate Plan comes into effect immediately. The
plan is available here (29
August 2019)
APRA superannuation statistics for June 2019
APRA has released its Quarterly Superannuation Performance
publication and the Quarterly MySuper Statistics report for the
June 2019 quarter (28 August 2019).
More...
APRA revised measures to strengthen outcomes for
superannuation members
SPS 515 requires all registrable superannuation entity
(RSE) licensees to perform an annual Business
Performance Review to assess whether they are delivering sound,
value-for-money outcomes for members. SPS 515 will come into force
from 1 January next year. Copies of the new SPS 515 and SPG 515,
Response Letter and draft SPG 516 are available
here (28 August 2019).
More...
New Australian Standards
AS ISO 20038:2019
Banking and related financial services - Key wrap using
AES
Standards Australia
AS ISO 20038:2019
FASEA approves education credits for FPA coursework to
attain a Professional Designation
The Standards Authority has approved an application for
the recognition of coursework to attain a professional designation
from the Financial Planning Association (FPA) as
part of its education standards for financial advisers (27 August
2019).
More...
ASIC's Report: Financial advice: What consumers
really think
The report presents independent research into consumer experiences
of, and attitudes towards, financial advice and the advice
industry. The research focused on the overall use of financial
advisers, motivators and barriers to seeking personal advice and
consumer attitudes towards the financial advice industry (26 August
2019).
More...
Proposal to remove special purpose financial statements
for certain for-profit private sector entities (AASB ED 297)
– Have your say!
ED 297 Removal of Special Purpose Financial Statements for Certain
For-Profit Private Sector Entities is proposing to
remove the ability of for-profit large proprietary, unlisted public
(other than companies limited by guarantee) and small
foreign-controlled companies to publicly lodge special purpose
financial statements (SPFS) with ASIC. Comments close 15 November
2019.
More...
ASIC consultation: new guidance for companies on
whistleblower policies
ASIC is calling for public input on its proposed guidance
on the new legal obligation on companies to implement a
whistleblower policy, which must be made available to their
officers and employees by 1 January 2020. The Proposed Regulatory
Guide Whistleblower policies explain how companies can establish,
implement and maintain a policy. The consultation comments due by
18 September 2019.
More...
IASB proposed amendments to IFRS 3 Business
Combinations
The amendments would update a reference to the
Conceptual Framework for Financial Reporting without changing the
accounting requirements for business combinations. IFRS 3 specifies
how a company should account for the assets and
liabilities it acquires when it obtains control of a business. View
the
Exposure Draft Reference to the Conceptual Framework,
Submit your
comment letters here. Comments close 27 September 2019.
AASB: Exposure Draft: Disclosure of Accounting
Policies
ED 296 Disclosure of Accounting Policies proposes amendments to
help entities provide accounting policy disclosures that are more
useful to primary users of financial statements. Please submit your
comments to the AASB by 28 October 2019 via the
AASB website.
AASB Invitation to Comment
ITC 40 Financial Instruments with Characteristics of Equity
– The International Accounting Standards Board has recently
published Discussion Paper DP/2018/1 Financial Instruments with
Characteristics of Equity. Submissions to the IASB were
due by 7 January 2019.
More...
ASIC consultation: foreign financial services providers
relief proposals
CP 301 sets out a proposal to enable foreign providers to apply
for a modified form of Australian financial services
(AFS) licence (foreign AFS licence). This follows
ASIC's review of the regulatory settings behind our foreign
providers relief. The current foreign provider licensing relief due
to sunset on 27 September 2018, will be extended until 30 September
2019 while we consult with stakeholders.
ASIC CP 300 Approval and oversight of compliance schemes
for financial advisers
The proposals in CP 300 Approval and oversight of
compliance schemes for financial advisers are outline. We intend to
release a regulatory guide setting out our final policy by the end
of September 2018.
More...
Current AFCA Matters – July 2019
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
Gazette - Superannuation Industry (Supervision) Act 1993
06/09/2019
Notice of Disqualification – Manmath Madhusudhan
Pandya
04/09/2019
Notice of Disqualification - Victor Bertuzzi; Touanga
Laeeatoa; Tupou Otutaha
03/09/2019
Notice of Disqualification - Matthew Bright; Justin Lowke;
Linda Bright; Milika Langi; Okusi Langi
29/08/2019
Notice of Disqualification – Taumafa Niupalau; Paula
Leaaetoa; Mounga Ofa; a'ata Ofa; Osika Niupalau
26/08/2019
Notice of Disqualification – Valentina Goulopoulos;
Andrew John Goulopoulos
Cases
Wilkins and Australian Securities and Investments
Commission [2019] AATA
2946
CORPORATIONS – review of banning order prohibiting
the applicant from engaging in any credit activities for a period
of three years – alleged contravention of prohibition on
giving misleading information etc – applicant alleged to have
falsely stated loan applicants held funds in investment accounts
and had no superannuation fund balance – applicant alleged to
have mis-stated the amount claimed to be held in the investment
accounts – no proper basis to conclude the applicant knew the
amounts in the loan applications were overstated – applicant
directly responsible for mischaracterisation of assets –
whether applicant knowingly or recklessly provided false
information – meaning of "false in a material
particular" – decision set aside and substituted
Administrative Appeals Tribunal Act 1975 (Cth) s 43
Superannuation Industry (Supervision) Amendment Act (Cth) Tax
Laws Amendment (2007 Measures No. 4) Act 2007 (Cth)
RNB Equities Pty Ltd v Credit Suisse Investment Services
(Australia) Limited (No 2) [2019] FCA
1385
PRACTICE AND PROCEDURE – pleadings –
interlocutory application by first respondent seeking strike out of
parts of the Amended Statement of Claim – alternative claim
for further and better particulars – where respondents have
not yet filed a defence. Held: interlocutory application
dismissed
It would be absurd to suggest that your client's contractual
obligations in relation to the provision of financial services and
a financial product could relevantly conflict with the conditions
under which your client is entitle to provide financial
services.
Ariss and Commissioner of Taxation
(Taxation) [2019] AATA
2958
TAXATION – income tax – whether trust
distributions ordinary income and/or personal services income
– whether Part IVA applies – entitlement to income tax
deductions – whether Applicant entitled to clerical
deductions for income attributed to spouse – whether
deductions unreasonable amount paid to a related person –
whether Applicant entitled to deduction for payments made to an
associate – whether Applicant entitled to deductions for
personal superannuation contributions – entitlement to income
tax deduction for travel expenses where reimbursement already made
– whether Respondent out of time to amend assessments –
limited amendment period – whether Applicant beneficiary
under a trust – whether any person entered into or carried
out a scheme for the sole or dominant purpose of the individual
obtaining a scheme benefit – decision under review
affirmed
Superannuation Guarantee (Administration) Act 1992 (Cth)
– s 12(3)
Legislation
Commonwealth
ASIC
Corporations (Amendment) Instrument
2019/902
05/09/2019 - This instrument amends the ASIC Corporations
(Repeal and Transitional) Instrument 2016/396, ASIC Corporations
(CSSF-Regulated Financial Services Providers) Instrument 2016/1109
and ASIC Corporations (Foreign Financial Services
Providers--Limited Connection) Instrument 2017/182
Queensland
Subordinate legislation as made – 03 September
2019
No 183
Superannuation (Public Employees Portability) Notice 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.