Financial regulator the Australian Prudential Regulation Authority has lost its case against IOOF in the Federal Court that claimed the wealth manager’s directors, executives and entities failed to act in the best interest of super members.
The court ruled Friday that IOOF had committed no breaches of the Superannuation Industry (Supervision) Act. The court also declined to make any disqualification orders sought against the executive team and awarded costs to IOOF.
IOOF shares plunged in December when the regulator applied to the Federal Court to have former managing director Chris Kelaher, chairman George Venardos and three other IOOF executives disqualified from the industry.
Mr Kelaher left the job by “mutual agreement” in April, while Mr Venardos stepped down as chairman but remained on the board, albeit on leave.