Those included labelling its coal and gambling investment screens as misleading and deceptive, according to the judgment.
Active Super merged with Vision Super on March 1 to create a A$29 billion pension fund.
Australia’s A$4.2 trillion pensions industry has come under pressure to justify ESG claims. ASIC has taken multiple cases over greenwashing allegations amid the heightened focus, resulting in a range of penalties.
“The financial penalty handed down by the Federal Court relates to historical issues with LGSS’s disclosures,” a Vision Super spokesman said in an emailed statement, adding that LGSS remained responsible for paying the penalty.
See also: UK pension fund bets on double-digit returns from nature
In a separate case, Vanguard Investments Australia was fined A$12.9 million for making misleading ESG claims, the highest greenwashing penalty issued in the country.
In August 2024, Mercer Superannuation Australia was ordered to pay A$11.3 million after ASIC sued the firm for misleading investors over some sustainable products.
Australia’s financial sector has a new climate reporting framework being phased in, which includes mandatory climate disclosures. It’s also developing ESG labelling standards for products being marketed as sustainable.
