AST ASIC published reports on anti-scam practices of the four major banks, smaller banks and reviewed the anti-scam practices of superannuation trustees in 2023-24.
In the review of 15 superannuation trustees, AST ASIC found that none of the superannuation trustees had an organization-wide scams strategy in place.
Superannuation trustees are the gatekeepers of their members’ money and cannot outsource their obligations to third parties when it comes to protecting their members.
Overview of the Letter
Letter details the observations of weak trustee practices re scams and fraud learned from the review, including that trustees were overly reliant on anti-fraud measures.
They had limited focus on the specific risks and harms associated with scams.
Insufficient oversight of their external administrators’ anti-scam, anti-fraud practices.
None of the trustees had a scams strategy or dedicated reporting on scams.
It outlines the guidance of AST ASIC in preventing, detecting and responding to scams and fraud against members, and also sets out their expectations for improvement.
AST ASIC Guidance
The guidance includes conducting a preliminary assessment of their anti-scam and anti-fraud measures, including for services provided by external administrators.
Trustees shall read reports on scam prevention, detection and response by the four major banks and other small banks (#169994), and address the baseline measures.
Consider if it is appropriate to allocate scam management key function to accountable persons, in preparation for the incoming financial accountability regime, see #234198.