Financial Standard Comments - APRA: Third line of defence in Trio-style fraud While accepting that the Australian Prudential Regulation Authority could have done more, deputy chairman Ross Jones has moved to distance the regulator from the Trio disaster, placing the blame with trustees and auditors. https://www.financialstandard.com.au/feed/latest?story=12948002 Sat, 02 Jun 2012 15:28:40 +1000 Sat, 02 Jun 2012 15:28:40 +1000 en-AU Copyright 2026 Financial Standard 5 Comment by Eric () Totally missing two points (at least);
Firstly the Trio funds were not meant to be hedge funds - only 10% was meant to be in a hedged fund with the rest being a usual mix for a balanced fund.
Secondly and more inportantly if trustees and auditors were the people responsible why has the government sought fit to compensate the APRA funds that were invested with these very same people in these very same funds but denied any responsibility towards the SMSF sector who only had as much (or little) knowledge or less than these same fund managers that the government has seen fit to compensate. Maybe it should have been the other way round and SMSf funds were compensated and public funds told to sue their trustees and auditors (and PI Insurers) for their negligence if they feel they are the incompetent parties.
The fact still reamins that licences should not have been issued under ASIC or APRA to the operators of Trio as the parties involved were known for irrregular practices elsewhere.

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]]> Eric () Sat, 02 Jun 2012 15:28:40 +1000