The Labor Party is being accused of holding financial advisers and their clients ransom in a game of pointless one upmanship in the Senate.
Government MP, Jason Falinski, Chair of the House of Representative Tax and Revenue Committee, accused Labor of leaving ordinary Australians and their advisers high and dry while they play games in the Senate delaying the FASEA Extension Bill.
“Many advisers are at home looking after their kids and trying to do business as well as studying. Which is why financial advisers have been given an extension of twelve months to complete their FASEA exam. ” said Jason Falinski.
Only thirty per cent of advisers have completed the exam, and if Labor succeeds in delaying the passing of this Bill in the Senate potentially seventy per cent of advisers will have to cease providing services.
“Compare Labor’s treatment of financial advisers to Industry Super and Litigation Funders that they exempted from ASIC oversight and consumer protection laws.
“How can Labor explain to millions of Australians trying to get desperately needed advice at the moment how they put their adviser out of business just when they needed them the most. And why? Because of some arcane payment to LITs that is already under consideration.
“Until now Labor has not made an issue of this matter other than agreeing with some articles written by Chris Joye. And honestly, what is Labor’s problem? They have not complained about Industry Super using biased analysis to encourage people not to withdraw their superannuation savings, they have never had a problem excluding other investment vehicles from supervision like litigation funders.
“Why pick on financial advisers whose job it is to help people with their finances. And they are doing this during a financial crisis. Labor is not making any sense on this, and they are just hurting ordinary Australians trying to get help.
“Labor’s new found concern about remuneration for the “well known” LIT investment vehicles
“Let’s be clear, Labor is determined to force financial advisers to close their doors.”