The FAAA’s CEO Sarah Abood is “deeply disappointed” members of the Senate Economics References Committee have recommended the inquiry into failed wealth management companies not continue.
The inquiry was launched in September 2024 following a motion by Senator Pauline Hanson to investigate the collapse of firms such as Dixon Advisory, and the implications for the sustainability of the CSLR.
See: Call for Urgent Action on CSLR
With the inquiry not completed before May’s Federal election, the committee met on 31 July to decide the next step. Its members recommended it be closed.
Members of the committee are:
- Senator Chris Ketter
- Senator Sean Edwards
- Senator Sam Dastyari
- Senator Matthew Canavan
- Senator Jenny McAllister
- Senator Dean Smith
- Senator Nick Xenophon
- Senators participating in this inquiry: Senator Larissa Waters
“The decision to end the inquiry seems extraordinary, particularly in the light of recent news about the collapse of Shield and First Guardian, potentially involving over $1billion in consumer losses from their super,” said Abood.
…the misdeeds at Dixon Advisory are not an isolated case…
“This scandal makes it clear that the issues the inquiry was investigating are not resolved, and that the misdeeds at Dixon Advisory are not an isolated case.”
Abood says the committee’s decision betrays the victims, and all consumers, who have put their faith in the Government to fully investigate these collapses “so we can understand how they happened, and what can be done to prevent them in the future”.
“We call on all members of parliament to support the reinstatement of this critical inquiry, with an extended remit to include the collapse of Shield and First Guardian,” said Abood.
“We owe it to the victims not to walk away from this.”
