AUSTRALIA - Technology advances in the transfer of money between super funds has made it easier to prepare forged documents, according to the Association of Superannuation Funds of Australia (ASFA).
Balancing the prompt transfers of money between super funds, at the same time as carrying out sufficient identity checks as a precaution against fraud, is the subject of a new discussion paper for members of ASFA.
CEO of ASFA, Phillipa Smith said: “Speed is important, but so is safety. Superannuation funds and their members are sometimes targeted by criminal elements - there have been some recent examples of attempted fraud involving third parties.
“Whatever the size of the superannuation balance, it could represent an individual’s entire savings. Requests by third parties, such as financial advisors, are definitely not sufficient to authorise a transfer.”
The discussion paper also notes a fund should not process a transfer, or pay out a benefit, unless it is satisfied as to the bona fides of both the applicant and the applicant’s claim.
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