The Federal Government is planning to tighten regulations surrounding public sector superannuation schemes that have become regulated funds.
An exposure draft proposes to review the list of funds which are exempt from regulation under the Superannuation Industry Regulations 1994, as they are already subject to regulation under their enabling legislation.
The changes are in response to a number of public sector schemes becoming regulated by the Australian Prudential Regulation Authority (APRA), yet still remaining on the list of exempt funds.
The proposed regulations would remove those schemes that have chosen to become APRA-regulated from the exempt list, and would amend legalisation to ensure that schemes remain exempt where their enabling legislation has been amended.
It would also insert a new sub-regulation to specify that a scheme ceases to be exempt at the time it is registered as a registrable superannuation entity, and therefore, becomes APRA-regulated.
Submissions on the exposure draft can be made until 14 June, 2011.
