Aussie engineer's disbelief after losing $150,000 when his super fund collapsed - and why he's now pointing the finger at Labor: 'It's just unthinkable'

By SARAH BROOKES - SENIOR REPORTER, AUSTRALIA Published: 15:34, 16 August 2026 | Updated: 15:37, 16 August 2026 A First Guardian investor who lost $150,000 from his retirement savings has accused the government of failing thousands of Australians, saying it had information ordinary investors never had but failed to stop misconduct before it was too late. Sydney engineer Jason Berry, 55, said he transferred about $450,000 from his Rest industry super fund in 2023 after responding to ads encouraging Australians to compare their superannuation.  He contacted Aus Super Compare and was referred to financial adviser Rhys Reilly, who recommended moving his retirement savings into First Guardian after showing projections suggesting he could achieve a larger balance at retirement.  Reilly has since been banned from providing financial services for 10 years by ASIC. After noticing his balance had barely moved for six months, Mr Berry began to try to pull his money out, however Mr Reilly convinced him to leave $150,000 in the failed fund while he transferred $300,000 back to his industry fund. 'There was nothing online to show me any issue with it, so I went ahead. Everything looked legitimate and above board,' he told the Daily Mail. 'I feel like a fool because I listened to a financial adviser that took $3,500 off me to leave money in there that I ultimately lost.'  Mr Berry estimates the loss could cost him closer to $300,000 once compound growth is taken into account, potentially wiping years from his retirement plans.  Sydney engineer Jason Berry (pictured) transferred about $450,000 from his REST industry super fund in 2023 after responding to advertisements encouraging Australians to compare their superannuation Mr Berry said given superannuation is compulsory Anthony Albanese's (pictured) government should bear responsibility when that system fails to protect them ASIC chair Sarah Court (pictured) has launched extensive regulatory and legal actions into the collapse of the First Guardian Master Fund 'Not once did you have it on your mind that in superannuation you could lose your money. That's just unthinkable.' Mr Berry said given super is compulsory, the government should bear responsibility when it fails to protect them. 'The government had all the information that we never had, and yet they're pointing the finger at everybody else, not themselves,' he said. 'They knew long before I did that First Guardian was on the nose. They had all the information, they had the evidence, and they didn't stop it. 'We invested compulsory money that we've earned in a government-run superannuation system, and yet the government allowed people to steal our money and they're taking no responsibility for that.'  Mr Berry is one of thousands caught up in the $1.2billion collapse of the First Guardian and Shield funds, a scandal that has devastated many Australians on the cusp of retirement. Nearly two years after the collapse, more than 7,000 affected investors are still waiting for accountability or compensation, he said. Sydney engineer Jason Berry (pictured right) with his wife (centre) and daughter First Guardian investor Melinda Kee (pictured) said the regulatory framework for superannuation should have been bulletproof Mr Berry said the current system places an enormous burden on victims who are left to navigate complaints processes, regulatory schemes, legal avenues and eligibility requirements while simultaneously dealing with the financial and emotional consequences of losing money they spent decades accumulating.  While Macquarie and Netwealth have compensated affected investors, other parties have failed to step up. Advocacy group SOS Save Our Super has been lobbying the government to compensate victims and recover funds through legal action.  First Guardian investor Melinda Kee, who leads the group, said when the system contains loopholes large enough for thousands to lose their life savings, it is no longer just a failure of private enterprise but also of public protection.  She said the regulatory framework should have been bulletproof.  'This is not a game of Snakes and Ladders,' she said. 'Because there is blame on every rung of this ladder. The advisers. The licensees. The trustees. The auditors. The research houses. The fund managers. The responsible entities. ASIC. And yes, the government. No one is without responsibility.  'What continues to astound me is that after almost two years of investigations, inquiries and finger-pointing, more than 7,000 Australians are still waiting for genuine accountability and compensation.'   Jason Berry (pictured right) met with Barnaby Joyce (pictured left) who's ex-wife, Natalie Abberfield, revealed she lost more than $400,000 following the collapse of First Guardian  As of June, just under 3,500 complaints had been lodged with the Australian Financial Complaints Authority (AFCA), raising fears thousands of affected investors may still be unaware the full extent of their losses. The scale of the fallout has also been reflected in ASIC's enforcement action, with 15 advisers linked to Shield and First Guardian among the 87 people banned from providing financial services in the 2025-26 financial year. ASIC chair Sarah Court said the regulator was cracking down on rogue operators, using banning orders and licence cancellations to remove high-risk players from the financial system.  She said ASIC was pursuing cases involving alleged misconduct across superannuation, scams, private credit and other sectors to prevent further consumer harm.  'We are pursuing cases that expose serious failures in systems, governance and conduct, from scams and hardship failures to market infrastructure, superannuation, private credit, financial reporting and digital assets,' she said. Mr Berry said he still struggles to understand how ordinary Australians could have protected themselves from the collapse. 'What else can you do as a superannuation holder?' he said. 'There was nothing online. There was nothing from ASIC. There was nothing to tell me there was a problem.'