Five former Trio directors admit failure

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APRA has announced that five former Trio directors have provided enforceable undertakings to the regulator.

All five former directors – Cameron Anderson, Michael Anderson, Terrence Hallinan, Lorenzo Macolino and John Harte – have acknowledged APRA’s concerns that they failed to carry out their duties properly as a director of a superannuation trustee.

Cameron Anderson was an executive director of Trio from November 2003 to November 2005. He was a member of Trio’s Investment Committee from January 2004 to November 2005. Anderson has undertaken not to act as a trustee or as a responsible officer of a body corporate that is a trustee, investment manager or custodian of an APRA-regulated superannuation entity for a period of 12 years.

Terrence Hallinan and Lorenzo Macolino were non-executive directors of Trio from November 2003 to December 2004. They have each undertaken not to operate in the superannuation industry for a period of eight years.

Michael Anderson was a non-executive director of Trio from March 2005 to October 2005. Anderson will not operate in the super industry for a period of four years.

John Harte was a non-executive director of Trio and the chair of Trio’s Investment Committee from January 2006 to May 2008. Harte has undertaken not to operate in the super industry for a period of four years.

The former directors have expressed regret at the consequences of the matters that are the subject of APRA's concerns and the losses caused to members of the superannuation entities from the failure of the investments in the related parties.

A total of 11 former Trio directors have now each provided an enforceable undertaking to APRA, which effectively removes these individuals from operating in the superannuation industry for a specified period of time. All EUs have been for four years or longer, with Rex Phillpott agreeing to 15 years, and John Godfrey having no expiry date.

APRA Member Helen Rowell said that the acceptance of enforceable undertakings was an appropriate resolution of the matters between the five former directors and APRA.

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  • Pat on 8/07/2013 2:13:18 PM

    Peter - how many advisers took conflicted "marketing" payments and the like to sell the product? How many advisers blindly relied on research house reports when selling the products (relied on after allowing for the conflicted payments they received)? No wonder the advisers get a fair amount of the blame.

  • Peter Johnston - AIOFP on 8/07/2013 1:38:50 PM

    lets dont forget the Directors of Research Houses who take conflicted payments from product manufacturers to rate their products....and the advisers get the blame.

  • GAB on 5/07/2013 11:48:39 AM

    Unfortunately that is just a few of the directors of failed funds management entities that should be banned...I wouldn't mind posting a a list of my favourite "should be banned" fund directors...but I shall refrain for obvious reasons.

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