Australia’s financial regulator has ordered pension fund HESTA to conduct independent reviews following a prolonged outage that harmed members. The Australian Prudential Regulation Authority imposed extra license conditions after HESTA’s shift to a new administrative services provider caused a severe disruption lasting around seven weeks. APRA identified deficiencies in HESTA’s governance and risk management.

Under the conditions, HESTA must carry out separate independent reviews of its risk management framework and board effectiveness. HESTA is one of Australia’s largest superannuation funds with about A$100 billion under management and more than one million members. Australia’s pension industry has faced scrutiny from regulators over issues from asset disclosure to customer service.

HESTA’s CEO Debby Blakey stated they are taking the matters raised by APRA seriously and are cooperating fully to resolve them, while apologizing to members who experienced delays. The Australian Securities and Investments Commission outlined 34 recommendations for reform earlier this year and has taken legal action against funds.

Read more at Yahoo Finance: Watchdog Orders HESTA Pension to Conduct Review After Outage