The Compensation Scheme of Last Resort (CSLR) has paid out 551 claims since operations began in April 2024, with the majority going to victims of Dixon Advisory and Superannuation Services.
Covering the latest figures as of 31 August, the organisation said 551 claims had been paid totalling $54 million in compensation. This included $750,000 in FY24, $48 million in FY25, and $5 million in FY26 so far.
The largest volume of claims (291) related to those victims affected by Dixon Advisory and Superannuation Services who received $31.9 million in FY25 and $4.8 million in FY26 so far, qualifying as personal financial advice.
Dixon Advisory collapsed in 2022 and saw its AFSL cancelled after problems with the US Masters Residential Property Fund (URF) which invested in residential property in New York and New Jersey. The Federal Court subsequently found in September 2022 that representatives of Dixon Advisory failed to act in clients’ best interests and failed to provide appropriate advice when they advised clients to invest in the fund, and was penalised $7.2 million.
Subsequently, the Senate economics references committee set up an inquiry into Dixon Advisory and wealth management companies more broadly but this lapsed at the end of the last Parliament and the committee chose not to pick it back up.
Out of all the affected companies that had seen a claim paid out by CSLR, 26 related to companies offering personal financial advice.
MyPlanner Australia has 61 claims paid to $1.8 million and United Global Capital (UGC) has 19 claims, both qualifying as personal financial advice, while securities dealer APC Securities has 27 claims paid.
Source: CSLR, September 2025
While it may only have 19 claims paid so far, UGC will likely see further claims submitted by consumers after the Australian Financial Complaints Authority (AFCA) opted to reinstate its membership until 31 March 2026. This is because UGC’s involvement with the collapse of Shield and First Guardian was unclear at the time of its expiry, and affected consumers may have been unable to submit a complaint.
David Locke, AFCA chief ombudsman and CEO, said: “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.”
