AustralianSuper Fined $27 Million for Failing to Merge Duplicate Accounts

The pension fund's oversight affected over 90,000 members and resulted in $69 million in financial losses over a decade.

AustralianSuper, Australia's largest pension fund, was fined $27 million by the Federal Court for failing to merge duplicate member accounts from 2013 to 2023.
More than 90,000 members were charged multiple administration fees and insurance premiums, leading to $69 million in losses, according to ASIC.
The company reported the issue to the Australian Securities and Investments Commission in December 2021 and cooperated with the investigation and court proceedings.
AustralianSuper has since compensated affected members, improved its procedures, and stated that member administration fees will not increase to cover the penalty.
Federal Court Justice Lisa Hespe emphasized the need for significant penalties to deter similar failures and noted AustralianSuper's remedial actions and acknowledgment of wrongdoing.