Family violence shouldn't alter super rules

ASFA/superannuation-funds/association-of-superannuation-funds/trustee/

12 April 2011
| By Mike Taylor |
image
image
expand image

The rules around the early release of superannuation should not be altered to take account of family violence issues, according to the Association of Superannuation Funds of Australia (ASFA).

However, in a submission to the Australian Law Reform Commission, ASFA indicated it would not be opposed to the implementation of measures to protect members who had been coerced into transferring contributions to their spouse.

The ASFA submission, discussing an issues paper about dealing with employment and superannuation within Family Law and Commonwealth Law, made clear that while the organisation would consider the matters raised in the issues paper, its initial reaction was the early release of super “should not be broadened to include family violence issues”.

The submission also vetoed the suggestion that fund trustees should be obliged to consider whether a transfer request to a spouse under the super splitting regime was made as a result of coercion.

ASFA said that it did not consider it practical to expect the trustee to make enquiries about family violence before actioning a split, but conceded that the issue should be taken into account if a member then separately made contact with the trustee advising they had been under duress.

The submission said ASFA had no objection to a claw-back provision being introduced to protect the interests of members who had been coerced into transferring contributions to their spouse.

However, it said ASFA would be concerned to ensure that such a provision operated by way of a decision made by the Family Court or other Court and which directed the trustee to return the claw-back amount.

Homepage

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months 3 weeks ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months 3 weeks ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months 4 weeks ago

ASIC has suspended the Australian Financial Services Licence of a Melbourne-based financial advice firm....

1 week 5 days ago

The corporate regulator has issued infringement notices to three AFSLs whose financial advisers provided personal advice to a retail client while unregistered....

2 weeks 3 days ago

ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test....

3 weeks 1 day ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND