Superannuation trustees have taken an average of 1.6 days to make early superannuation access payments to members financially suffering due to the COVID-19 pandemic, according to data.
Data from the Australian Prudential and Regulation Authority (APRA), said for applications paid in the first week of the scheme, payments took 1.6 days was after receipt of members’ applications from the Australian Taxation Office (ATO).
However, APRA noted that given this was the first week of the early release initiative, trustees had no applications that were more than five business days old.
The data said for the week ending on 26 April, 167 trustees:
APRA deputy chair, Helen Rowell said: “Although this publication only covers the first week of a scheme that will run for several months, the initial data indicates trustees are moving quickly to make payments after receiving determinations from the ATO.
“Under the Superannuation Industry (Supervision) Act 1993, trustees are legally required to make early release payments to eligible members ‘as soon as practicable’. We expect trustees should generally be able to achieve this within five business days, however we recognise this may not be practicable in all cases, as trustees conduct fraud checks, and fulfil their legal obligation to look out for the best interests of all fund members.
“APRA is closely monitoring trustee performance in this area and will consider taking appropriate action if evidence emerges of funds not releasing benefits to eligible members as soon as practicable.”
Michael Lovett, who left the investment firm just three months after launching its Vanguard Super offering, has taken up a chief executive role at an Australian asset manager.
The Central Bank of Ireland has granted the approval of Equity Trustees’ exit from its Irish operations, with the transaction expected to be complete on 30 April.
Super returns continued to climb in March, raising hopes of delivering double-digit returns by June depending on the performance of this next quarter.
The dedicated super fund for emergency services and Victorian government employees is under fire for unpaid entitlements to transport employees, which could exceed $40 million.
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