It may only have had the powers since April, but the Australian Prudential Regulation Authority (APRA) has revealed that it has already used the powers handed to it under the Member Outcomes legislation.
However, APRA stopped short of naming the funds or instances where it had acted.
APRA has used its annual report to describe the directions powers as a game-changer adding that it had “already used them to resolve a number of entity issues”.
The regulator referred directly to the Treasury Laws Amendment [Improving Accountability and Member Outcomes in Superannuation] legislation which it said had provided it with “a broad and long sought-after directions power”.
“It also gives APRA the power to take civil penalty action against trustees and their directors for breaching their obligations to members, including the duty to act in members’ best interests,” it said.
APRA said the powers were gamechangers for the regulator and enhanced its ability to deliver better outcomes for superannuation members.
“APRA welcomed these new powers and has already used them to resolve a number of entity issues,” it said.