The Australian Prudential Regulation Authority today commended trustees and auditors of superannuation funds for a successful transition to the new reporting framework.

APRA’s more comprehensive superannuation reporting requirements came into effect for the 2003/2004 financial year. The requirements include expanded and modernised annual returns that provide a more accurate insight into the status of superannuation funds, plus quarterly returns for funds with over $50 million in assets. The improved returns enable APRA to supervise more effectively, and to provide more detailed superannuation statistics.

As at the 31 October due date, APRA had received 7,727 superannuation annual returns for the 2003/2004 financial year, representing 80 per cent of all returns expected. A further 76 per cent of the first quarterly returns were lodged by their 6 December due date.

APRA Deputy Chairman, Mr Ross Jones, said that while the number is reasonable in the context of a new and expanded collection, a trustee’s compliance with prudential reporting requirements is an important consideration in APRA’s assessment of a trustee’s licence application.

“APRA will work with the remaining minority of late filers to ensure that they submit their returns as soon as possible,” he said. “The proportion of returns lodged on time will require substantial improvement next year but the 2003/2004 results represent a good first effort by the industry.”

APRA can issue infringement notices to trustees that fail to submit superannuation returns on time.

“APRA does not intend to fine trustees making genuine attempts to submit accurate returns by the due date, however, this forbearance will steadily reduce over the next year and APRA’s expectation of timely and accurate returns will increase as the industry becomes more familiar with the new reporting requirements,” Mr Jones added.

APRA is currently reviewing the consistency and accuracy of the annual and quarterly returns and is requesting trustees to explain anomalies or to re-submit returns where APRA identifies incomplete or inaccurate information.

The Australian Prudential Regulation Authority (APRA) is the prudential regulator of the financial services industry. It oversees banks, credit unions, building societies, general insurance and reinsurance companies, life insurance, friendly societies, and most members of the superannuation industry.APRA is funded largely by the industries that it supervises. It was established on 1 July 1998.APRA currently supervises institutions holding approximately $2.0 trillion in assets for 20 million Australian depositors, policyholders and superannuation fund members.