APRA so alarmed over mismanagement it tells super fund to shut

Michael Read and Michael Roddan

Nov 16, 2021 – 2.16pm

Subscribe to gift this article

Gift 5 articles to anyone you choose each month when you subscribe.

Already a subscriber?

The prudential regulator is so alarmed by mismanagement at EISS Super that it has taken the unprecedented step of telling the troubled industry fund to merge, but EISS’s chairman has rejected allegations the fund wasted members’ money.

The Australian Prudential Regulation Authority said on Tuesday that it was so concerned by expenditure and governance at EISS Super that the fund was now required to “implement a strategy to merge with a larger, better performing fund by 30 June 2022, and report to APRA if the merger has not been executed by that date”.

Michael Read is the Financial Review's economics correspondent, reporting from the federal press gallery at Parliament House. He was previously an economist at the Reserve Bank of Australia and at UBS.

Michael Roddan is a Walkley Award-winning national correspondent based in Sydney. He is a former business and economics reporter for The Australian.