Macquarie to repay Shield investors in full by September 30

ABC NEWS (Australia)

Banking giant Macquarie has committed to repaying thousands of Australians who invested hundreds of millions of their retirement savings in the collapsed Shield master fund.

Transcript

00:00So this is now for 3,000 investors who invested in the Macquarie RAT platform between 2022

00:09and 2023. They are eligible for $321 million in compensation through this process and this

00:18has come about because Macquarie has admitted that it broke the law by not putting SHIELD

00:25on its watch list for heightened monitoring. And this is really, really welcome news for

00:31those investors that did invest via the Macquarie platform. I mean, a lot of them thought Macquarie,

00:38it's a reputable platform, what could go wrong? And they ended up in this situation. So it's

00:43very, very welcome news for them. We interviewed ASIC's Deputy Chair Sarah Court this morning

00:49and she said that basically Macquarie is still having to dip into its own pocket to pay investors.

00:56So it's unclear how much money will be recouped through the liquidation process, but they're

01:02assuming about 70 cents in the dollar, which will mean that there is a shortfall from that

01:07full $320 million that they've agreed to pay. So Macquarie, it's important to note Macquarie

01:12said we will pay that full $320 million, even if we don't get that full $320 million through

01:19the liquidation process. And so ASIC has basically said, well, that's basically Macquarie dipping

01:26into their own pockets and that serves as a major deterrence. Said it will look at chasing

01:33other superannuation platforms, not just for this collapse scheme SHIELD, but also for the

01:38collapse First Guardian scheme. They've already taken legal action against equity trustees.

01:44So we're waiting to see what happens there and whether equity trustees will pay compensation

01:52for the remaining investors. And then when it comes to First Guardian, there's other superannuation

01:58platforms that were involved that ASIC has flagged, it could take legal action against.

Category

Transcript

Be the first to comment

Recommended