FWC president acts on conflicts of interest claims
The processes around the selection of default funds under modern awards have taken a new turn with the President of the Fair Work Commission, Justice Iain Ross, revealing that he has sought clarification from members of the expert superannuation panel within the Commission on potential conflicts of interest.
In a letter to Financial Services chief executive, John Brogden, Justice Ross has made direct reference to disclosures made by the members of expert panel, Vicki Allen, Arthur Apted and Stephen Gibbs.
Gibbs is a former president of the Australian Institute of Superannuation Trustees (AIST), while Allen is a director of MTAA Super and Apted was a director of the Industry Superannuation Property Trust.
The panel was appointed by the former Minister for Financial Services and now leader of the Opposition, Bill Shorten.
In his letter to Brogden, Justice Ross said that he had last week issued a direction to the three-expert panel concerning “the disclosure to me of potential conflicts in relation to these proceedings”.
“Each of the expert panel members have provided information in response to my direction. I am presently seeking further clarification in relation to aspects of the disclosures provided. Once I have received that clarification I will make a decision on whether I should exercise my powers under s.640(4) of the Fair Work Act 2009 (Cth),” his letter said.
The Financial Services Council (FSC) had used a submission to Fair Work Australia to raise concerns about conflicts of interest with respect to the panel members, while Industry Super Australia noted the FSC’s concerns and said that if they were genuine they should be pursued quickly so as not to delay proceedings.
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