The Australian Securities and Investments Commission (ASIC) is now reported to be in the early stages of an investigation into Super Retail Group which has been dragged to court by whistleblowers.

Two former Super Retail executives – Rebecca Farrell and Amelia Berczelly – are in the midst of a workplace dispute in the Federal Court with their former employer.

They are represented by Harmers Workplace Lawyers, although Super Retail recently unsuccessfully attempted to have Harmers removed from the case.

The whistleblowers have alleged their former company as being a dysfunctional workplace amid claims of its chief executive Anthony Heraghty having a secret affair with the former head of human resources, Jane Kelly. The women have also made accusations of bullying and victimisation.

ASIC has not yet issued a statement regarding its investigation into Super Retail, but multiple sources according to the Australian Financial Review confirmed the regulator is investigating the company.

 

A spokesman for Super Retail confirmed ASIC had requested it be provided with documents as part of an investigation and said the company and its board “are treating these matters seriously and will co-operate fully”.

The spokesman noted that the board had already conducted a review and investigations into the allegations and “concluded that none of the allegations are substantiated”.

“ASIC notified the company that the request for documents should not be construed as an indication that a contravention of the law has occurred, nor should it be considered a reflection upon any person or entity,” he said.

Farrell was previously head of legal and Berczelly was formerly senior corporate counsel and a company secretary at Super Retail.

Berczelly’s affidavit states that she made two whistleblower complaints in February under the Corporations Act to Super Retail directors Howard Mowlem, Annabelle Chaplain, Judith Swales, Peter Everingham, Penny Winn and Mark O’Hare, and Super Retail’s external auditor, PwC.

Then, in late April, Berczelly and Farrell made a joint whistleblower report to the same group. The following month, Berczelly filed her case with the Fair Work Commission against Super Retail, Heraghty, outgoing chairwoman Sally Pitkin and acting chief legal officer Inga Kirkman.

Berczelly is also supporting Farrell’s separate Federal Court case, which is due to be heard in December, relating to her alleged settlement agreement.

Among the allegations being made against the company is that its whistleblower system, Whispli – which had received two other complaints late last year about corporate governance issues – was “significantly compromised” to suppress the alleged affair between its CEO and head of HR.

Berczelly had raised concerns that the entire board – including Heraghty and Pitkin – had become aware that she made those reports and that her identity as a whistleblower had been disclosed and discussed with the CEO and chairwoman in apparent breach of the Corporations Act.

Super Retail Group posted record sales of $3.9 billion for the full year ended 29 June 2024, a 2.1 per cent year-on-year increase.

The group, one of Australia’s largest retailers, is the owner of chains including Rebel, Supercheap Auto, Macpac and Boating, Camping and Fishing (BCF).