United Global Capital (UGC) has seen its membership of the Australian Financial Complaints Authority (AFCA) extended by another six months.
In an update on 25 September, the complaints organisation said UGC’s membership will now be put back in place until 31 March 2026.
This will allow affected consumers to continue to make complaints and potentially receive compensation from the Compensation Scheme of Last Resort (CSLR).
UGC’s membership had previously ceased in 31 May 2025, which meant AFCA was unable to accept new complaints.
David Locke, AFCA chief ombudsman and CEO, said: “When UGC’s AFCA membership ceased earlier in 2025, the full picture of the consumer harm and UGC’s involvement in the collapse of Shield and First Guardian was not yet understood, nor was the interconnectedness between the various firms involved.
“A clearer picture has emerged. The AFCA board has made a decision to temporarily reinstate UGC as an AFCA member, so that impacted consumers can lodge complaints against that firm.
“What we’re seeing in these complaints is allegations of conflicted advice models and inappropriate recommendations to invest in the collapsed schemes and other self-managed super funds, that may not have been in the best interests of consumers.
“This is a targeted, time-bound decision made in the public interest, responding to exceptional and unprecedented consumer harm. It allows eligible complaints to be lodged and ensures consumers are not unfairly excluded from AFCA’s process. The new deadline of 31 March 2026 provides fairness to consumers while giving certainty to industry.
“This is not a course of action AFCA takes lightly or regularly, but on this occasion, it is the right course of action.”
AFCA also listed a number of investment platform providers and superannuation trustees as having connections to the Shield Master Fund and First Guardian Master Fund.
The firms, which are all active members of AFCA, are:
- YourChoice Super (investment platform provider), Diversa Trustees Limited (superannuation trustee)
- Australian Practical Superannuation (investment platform provider), Diversa Trustees Limited (superannuation trustee)
- Praemium Super (investment platform provider), Diversa Trustees Limited (superannuation trustee)
- Netwealth Superannuation (investment platform provider), Netwealth Superannuation Services Pty Ltd (superannuation trustee)
- NQ Super / Freedom of Choice (investment platform provider), Equity Trustees Superannuation Limited (superannuation trustee)
- Macquarie Wrap (investment platform provider), Macquarie Investment Management Ltd (superannuation trustee)
- Super Simplifier (investment platform provider), Equity Trustees Superannuation Limited (superannuation trustee)
In June 2024, ASIC obtained interim asset-freezing orders against UGC and related property development investment company Global Capital Property Fund Limited (GCPF) in the Federal Court.
On 31 July 2024, ASIC announced that it had cancelled UGC’s Australian Financial Services Licence (AFSL), as well as banning director Joel Hewish for 10 years. In cancelling UGC’s licence, ASIC required it to remain a member of the AFCA scheme until at least 31 May 2025.
On 25 September, Macquarie Investment Management (MIML) also announced that it would remediate all of its superannuation fund members who had invested in the Shield Master Fund by $321 million. ASIC has commenced proceedings in the Federal Court against MIML following admissions that it did not act “efficiently, honestly and fairly by failing to place Shield on a watch list for heightened monitoring”.
