Disqualified persons are not allowed to be the trustee of an SMSF, or to be the director of the corporate trustee of an SMSF. Continuing to be the trustee of an SMSF while being a disqualified person can result in fines or even jail time.
How does someone become a Disqualified Person?
There are four reasons a person may become a disqualified person:
- an undischarged bankrupt
- have executed a personal insolvency agreement