Colonial caught out
COLONIAL First State has been found to have misled and deceived customers in a bid to keep them in its Firstchoice fund rather than have them swap to a cheaper Mysuper product.
The Federal Court found the Commonwealth Bankowned superannuation business had engaged in a large messaging campaign to stop customers swapping accounts, the Australian Securities & Investments Commission said on Wednesday.
The finding comes after Colonial First State consented to the charges filed by the corporate regulator in March last year. A penalty has yet to be decided.