Home / Business and Economy / Super funds collapse: $1.2B lost, thousands unaware
Super funds collapse: $1.2B lost, thousands unaware
30 Jan
Summary
- Two major investment funds collapsed owing $1.2 billion.
- Over 12,000 people may be affected, but few complaints filed.
- Directors accused of siphoning millions and moving funds offshore.
Australians are urgently advised to review their superannuation accounts due to the collapse of two significant investment funds, First Guardian and Shield Master, in May 2024. These funds went under owing approximately $1.2 billion, with over 12,000 individuals potentially impacted. Concerns are high as only 1,860 complaints have been lodged with the Australian Financial Complaints Authority (AFCA).
Directors of First Guardian face allegations from ASIC, including siphoning millions into personal accounts and transferring funds overseas after an investigation began. Liquidators have recovered only $1.6 million from the $1.2 billion collapse. One director allegedly purchased a $9 million mansion, while another had a Lamborghini registered in his name, purportedly bought with fund money.
