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Two charged over fraudulent $3.5m SMSF scheme
Two Sydney accountants have been charged with defrauding clients of $3.5 million in a self-managed superannuation fund scheme.
In February 2020, detectives from the State Crime Command’s Financial Crimes Squad established Strike Force Gulgin to investigate alleged fraudulent activities of accountants who established SMSFs.
Following investigation, two individuals were arrested at Burwood Police Station on 22 March and charged with 84 offences – a 44-year-old man with 43 offences and a 38-year-old woman with 41 offences.
These included obtaining money by deception, dishonestly obtain financial advantage by deception and possessing false document to obtain financial advantage.
NSW Police alleged the pair established SMSFs on behalf of more than 20 people before allegedly misappropriating about $3.5 million between 2007 and 2020, the funds were then transferred between more than 60 bank accounts opened by the man and the woman.
The pair were refused bail to appear before Burwood Local Court on 23 March.
ATO Assistant Commissioner, Jade Hawkins, said the agency took any super fraud very seriously.
“Fraud against SMSFs can result in a person’s retirement savings being stolen and lost forever.
“Where the ATO detects these activities, we work with other government agencies to identify and take action against offenders. This activity is criminal, and we will hold offenders to account.”
Financial Crimes Squad Commander, Detective Superintendent Gordon Arbinja, said: “These organised syndicates use their skills and business practices to generate further wealth for themselves and other criminal associates. They don’t consider the consequences for those on the other side – the innocent victims investing their life savings.
“We understand the appeal of having control of your superannuation, however people need to understand the risks and costs involved. Do your proper research and seek financial guidance from a licensed financial adviser with specialist knowledge in the field.”
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
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I am surprised that these accountants were not referred to as "financial advisers" by the relevant authorities!