APRA is using their SIS powers again, this time imposing directions on AMP.
Last week, the Australian Prudential Regulation Authority (APRA) announced the imposed licensing conditions for AMP Super, following concerns the regulator has with the entity’s compliance with the Superannuation Industry (Supervision) Act 1993 (SIS).
The regulator said their concerns came from their own ongoing supervisions as well as findings that came out of the Royal Commission into the Banking, Superannuation and Financial Services industry.
AMP Super will be required to appoint an external expert to report on remediation and compliance when meeting the licensing conditions set down by the regulator.
The regulator said:
This is the second time APRA has used the broader directions power that was granted in April following the passage of the Treasury Laws Amendment (Improving Accountability and Member Outcomes in Superannuation Measures No 1) Bill 2019. It also demonstrates APRA’s commitment to embedding the ‘constructively tough’ enforcement appetite outlined in April’s new Enforcement Approach.