Industry superannuation funds have been directing hundreds of thousands of dollars towards Industry Super Australia (ISA) each year with answers provided to a key Parliamentary Committee likely to provide fuel for ministerial questioning under the upcoming Your Future, Your Super legislation.
The questions have been posed by House of Representatives Standing Committee on Economics chairman, Tim Wilson and have so far elicited responses which show that some superannuation funds have directed over three-quarters of a million a year to ISA.
However, those funds have not detailed what the money was for, in circumstances where ISA has frequently acted as the coordinator and booking agent for industry superannuation fund campaigns such as “compare the pair” and “fox in the hen-house” on behalf of the 15 funds who are members.
Some of those ISA member funds denied in answers to Wilson that they had directed any money to ISA over the five-year period he specified.
The answers have come as the Senate Economics Legislation Committee continues its review of the Your Future, Your Super particularly submissions around the ability of the Minister of the day to veto superannuation fund investments which are deemed to be inappropriate.
Submissions to the Senate Committee have expressed concern about how the prohibition on certain payments and investments will impact political advertising, noting that the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry had not recommended such an approach.
The answers to the written questions on notice posed by Wilson reveal that education industry fund, NGS Super paid ISA $619,050 in 2019/20, after having paid the industry funds body $633,328.84 the previous financial year and $626,526.64 in 2017/18.
It also reveals how comparatively small fund, LegalSuper, directed $122,743 to ISA in 2019/20, after directing $132,697 the previous year and $124,664 in 2017/18.
This compares with TWU Super which directed $518,823 in 2019/20, $530,790 in 2018/19 and $773,677 in 2017/18.
Both NGS Super and TWU Super are currently in merger moves with other industry funds.