Exclusive: Thousands of Australians are potentially unaware their retirement savings have been wiped out, with victims of the First Guardian and Master Shield twin collapse issuing a warning about postcode hotspots for lost money.
Victoria ranks as one of the three hardest-hit states in the $1.1 billion crisis.
Data released by the Australian Securities and Investments Commission (ASIC) listed four Melbourne postcodes as among the ten most impacted areas.
ASIC found the suburbs of Cranbourne, Cranbourne East, Cranbourne North, Werribee, Hoppers Crossing, Truganina and Craigieburn have the highest concentration of victims.
Fellow investor and advocate Melinda Kee said many investors “still don’t even know they’ve been affected”.
Melbourne woman Susy Zjak, 54, had just lost her mother when she discovered her $574,000 superannuation balance had dwindled to almost nothing.
The former Qantas worker’s retirement fund had been funnelled from her former airline industry fund into First Guardian in 2022 after she took advice from a financial advisor at Venture Egg.
That advisor has since been banned by ASIC from being involved in a financial services business or engaging in credit activities.
Susy Zjak pictured with her mother. Susy Zjak
“I had gotten a redundancy, I wasn’t working, the super fees were high and I was thinking about my future,” Zjak told nine.com.au.
“We all want our retirement to be nice and easy.
“But I didn’t have much of a working career to gamble money into a high-risk fund.”
After switching funds, Zjak’s nest egg initially performed well.
The scheme delivered her a healthy boost from about $395,000 to $574,000 over the next two years.
But following First Guardian Master Fund’s sudden collapse in 2024, almost every dollar disappeared overnight.
“I thought I was going to have a massive heart attack. I thought my life was over,” Zjak recalled.
The account was drained, leaving her just a few thousand dollars to transfer into another active super fund and start virtually from scratch.
Zjak has battled cancer and is recovering from a severe hand injury and is unable to work to recoup some of her losses.
The former Qantas worker, 54, lost over $500,000 in the collapse. Susy Zjak
About 6000 Australians lost their super or had their funds frozen in the First Guardian blowout.
ASIC is conducting multiple investigations into conduct connected to the First Guardian Master Fund, which was operated and managed by Falcon Capital Limited.
Another 5800 were impacted by the Shield Master Fund investment scheme collapse.
It is understood these schemes attracted thousands of investors due to cold calls from lead generators, who then connected potential investors to financial planners.
ASIC alleges these financial advisors convinced people to invest their super and funnel hundreds of millions of dollars into the Shield and First Guardian funds.
The funds and some associated advisors have been accused of financial misconduct, which led to the collapses.
Kee, who runs the investor advocacy group SOS Save Our Super, lost around $368,000 after the First Guardian disaster.
She has worked to identify the highest concentration of First Guardian and Shield investors across Australia, many of whom live near Zjak.
The next step is demanding local MPs in these electorates to speak to communities and warn potential victims to check their supers.
“These are not just postcodes,” Kee said.
“These are communities… families. Retirements that have been shaken.
“Right now there are people going about their daily lives, not knowing their retirement savings may be at risk.”
Melinda Kee leads the SOS Save Our Super Facebook page. Supplied
Nine.com.au has contacted the state MPs for the impacted postcodes, Ross Spence, Sarah Connolly, Ros Spence and Pauline Richards for comment.
Zjak said she has become “obsessed” with telling friends, family and acquaintances to check their own retirement funds and become empowered to understand how investment schemes work.
Her vanishing next egg has forced Zjak to rethink her retirement.
She has lodged a complaint with the Australian Financial Complaints Authority (AFCA) and is now waiting for any news of recovery.
Other First Guardian investors are waiting to be paid back their investments from successful AFCA determinations.
AFCA has so far fielded 3343 complaints regarding Shield and First Guardian and has issued 89 decisions.
“I don’t know what can be recovered, but I hope I get something back,” Zjak added.
“I’ve worked all my life.
“I wouldn’t wish anyone to go through what I went through.”
The collapse of the First Guardian and Shield superannuation funds has devastated the lives of thousands of Australians. Nine
A spokeswoman for Assistant Treasurer Daniel Mulino previously told nine.com.au.com.au the government was concerned for investors and welcomed ASIC’s continued action.
“The government is committed to ensuring that investor interests are safeguarded and the regulatory framework governing the investment landscape is fit for purpose,” the spokeswoman said.
“ASIC has taken steps to commence enforcement and protect investors, including freezing assets and cancelling financial licences where appropriate.
“As these matters are before the Federal Court and part of ongoing investigations by ASIC and the liquidators, it would be inappropriate to provide further comments or speculation.”