Proceedings are underway after ASIC sued the super fund last year, then StatePlus Super, for charging more than 36,000 members fees for no service.
Appearing at a House economics committee on Thursday, Aware chief executive Deanne Stewart was asked by committee member Tim Wilson if the fund would consider increasing member funds to pay for any potential fine ahead of reforms to section 56 of the SIS Act next January that allows the provision of paying penalties with member savings.
While she refused to speculate given the proceedings are ongoing, Ms Stewart did say Aware is seeking legal advice on the matter.
“We are in the middle of those proceedings, so I would not want to preempt that or prejudice those court proceedings,” she said.
We’re certainly considering those options at the moment and seeking advice on that.
“We will certainly have something in place at that time.”
Ms Stewart’s comments come only months after APRA was questioned about the legality of an industry super fund allegedly using member funds to pay off remediation costs, who said at the time, “APRA said the case concerned the ‘payment of remediation to members by StatePlus rather than payment of a fine imposed by a regulator’”.
Neil Griffiths
Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.
Neil is also the host of the ifa show podcast.
