Super rollover calls result in $70,000 anti-hawking penalty

Mike Taylor

Managing Editor/Publisher, Financial Newswire

21 February 2023

A company which made unsolicited phone calls to people encouraging them to roll over their superannuation to different products has been hit with anti-hawking penalties.

The Australian Securities and Investments Commission (ASIC) said that National Advice Solutions Pty Ltd appeared at the Southport Magistrates Court in Queensland and pleaded guilty to one charge of breaching anti-hawking laws. The Court imposed a penalty of $70,000.

It was alleged that between August 2019 and June 2020, National Advice Solutions made unsolicited calls to consumers encouraging them to roll over their superannuation into different superannuation products. The company then charged an initial fee for the rollover as well as ongoing fees.

Commenting on the outcome, ASIC Deputy Chair Sarah Court said “Australians work hard to build up their super. Unsolicited calls can convince consumers to make decisions on their super that they didn’t plan to make or don’t suit their needs.

“Reforms to the anti-hawking regime were in response to clear consumer harm when it came to the unsolicited calls involving financial products. ASIC strongly advocated for these reforms and will continue to pursue action in the court where we see a disregard for these laws,” Court said.

The matter was prosecuted by the Commonwealth Director of Public Prosecutions after an investigation and referral by ASIC.