Five companies that are or were part of the AMP group have been ordered to pay $14.5 million in penalties for charging fees for services that were not provided to 1452 superannuation members.
The members had been paying fees in return for access to general financial advice as part of an agreement between their employer and AMP. On leaving their employer, the members continued to be automatically charged the advice fee, despite no longer having access to the advice services.
Australian Securities and Investments Commission deputy chair Sarah Court said: “AMP was aware it was charging fees for no service to these members but did not take the proper steps to prevent it from continuing.
“Superannuation trustees should treat the penalty imposed today as an important reminder to maintain robust internal governance and assurance arrangements.’
The five AMP companies are: AMP Superannuation Limited, AMP Financial Planning Proprietary Limited, Charter Financial Planning Limited, Hillross Financial Services Limited and AMP Life Limited (now part of the Resolution Life Group).
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