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BUSSQ becomes latest fund to see CFMEU-linked directors exit
As the super industry continues to grapple with the fallout of the CFMEU saga, a second super fund has confirmed the removal of two of its CFMEU-linked board directors.
In a statement on Thursday, BUSSQ announced interim board changes after it received notification from the CFMEU administrator about the immediate removal of two directors, Jacqui Collie and Michael Ravbar.
The fund confirmed that the administrator has nominated two replacement directors, Hemal Patel and Paul Dunbar, both with “strong connections to the Queensland construction industry”.
It is understood that while Collie and Ravbar have been removed, CFMEU-official Emma Eaves is still on the BUSSQ board. According to the fund’s website, which appears to have been updated recently, Eaves is still the administration executive for the CFMEU in Queensland and the Northern Territory where she assists with the financial operations.
BUSSQ said in its statement that the CFMEU administrator has the ability to remove and appoint up to four of the eight board directors. It also clarified that no reason had been provided by the administrator for the removal of the directors; however, it stressed the changes are unrelated to their time at BUSSQ.
Commenting on the exit of two directors, Chris Taylor, chair of BUSSQ, said: “Both Michael and Jacqui have provided outstanding service to the members of BUSSQ.
“Their dedication to looking after the retirement savings of our members has always been evident and their input will be missed. On behalf of the Board, CEO, and team, I wish them both well and thank them for their service to BUSSQ.”
Moreover, the fund assured the changes would not impact the day-to-day operation of the fund.
Similarly, Cbus also saw the departure of its union-appointed board directors recently. At the time it was said that the administrator of the troubled union aimed for a complete overhaul of CFMEU positions on the Cbus board.
The departures at both funds follow APRA’s issuance of a directive mid-August, instructing the funds to undergo independent reviews to determine whether their CFMEU-affiliated directors are fit for their roles.
Citing public allegations of serious misconduct within the CFMEU, APRA said at the time it “is concerned about the potential impact on trustees”.
BUSSQ has since applied to the Federal Court of Australia for a judicial review of the matter.
Additionally, a third super fund, First Super, has recently come under regulatory scrutiny for its ties to the CFMEU, with its co-chair Michael O’Connor named in court proceedings commenced by APRA.
Following an investigation into a contract between First Super and the CFMEU, APRA has alleged that O’Connor, who is national secretary of the CFMEU’s manufacturing division, breached several director covenants in the SIS Act.
AUTHOR
Rhea Nath
Rhea L Nath is a journalist on Super Review and InvestorDaily, with a focus on funds management, superannuation, and institutional investment. Previously, she covered small business and entrepreneurship news at Dynamic Business and multicultural issues at Indian Link Media Group. In 2022, she was named Young Journalist of the Year at the NSW Premier’s Multicultural Communications Awards.
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