Tim Wilson (Goldstein, Liberal Party) Share this | Link to this | Hansard source

Super is members' money, not a soft cushion for corrupt union leaders to feather their nests. Recently, the parliament passed the Your Future, Your Super legislation introducing a new test obliging funds to act in the best financial interests of their members. Frankly, it's absurd that it was required, but we now see why. Many super funds have a cosy relationship with the ACTU where they pay tens of thousands of dollars in 'marketing expenses'. The House Economics Committee has grilled its value, and we've been advised by Industry Super Australia that their $60,000 annual fee gets them access to their newsletter. IFM Investors' equivalent fees meant that they get the opportunity to meet trustees of the super funds that owe them. These payments in the tens of thousands of dollars aren't legitimate marketing expenses, but super laundering through to the ACTU. Finally, under the new best financial interest test APRA accepted that, without a very strong basis, such expenditure is unlikely to be consistent with the best financial interest duty. It's a welcome change from earlier dismissing an $11,000 political donation to the Australian Labor Party from superannuation funds as 'immaterial' in comparison to the size of the fund under the sole-purpose test. Super remains a Kama Sutra of festering self-interest between the Labor Party and many of the funds, demonstrated by Cbus appointing Wayne Swan as their new chair. It's time we cleaned up super, and we're making no apology about it.

Kevin Andrews (Menzies, Liberal Party) Share this | Link to this | Hansard source

Order! I call the honourable member for Mayo.