Axa’s Asia-Pacific boss Andy Penn – long regarded as the successor to CEO Les Owen – has vowed to fight a decision by the Australian Prudential Regulation Authority (APRA) to disqualify him from running a superannuation fund.

The decision is based on APRA’s long-running investigation into Mr Penn’s role as trustee responsible for the running of Axa’s staff super fund. Because of issues with the fund, Axa was forced to pay about $10 million compensation to former and current Axa employees who claimed they had been ripped off over interest payments.

Mr Penn has stood down from his role at Axa to concentrate on the legal battle facing him. He will act as MD Group Strategic Development, while Mr Owen and CFO Geoff Roberts will manage Axa’s Australian and NZ operations.

Now Mr Penn has enlisted the assistance of a QC, and has lodged an application with the Administrative Appeals Tribunal. But it’s unlikely a hearing will begin until at least November.

“There is no doubt in my mind that this will be resolved in my favour,” Mr Penn said in a statement. “In my opinion APRA has misconceived this matter.”

Axa said in a statement that it is “fully supporting Mr Penn in this matter”. The company has “utmost confidence in Mr Penn who is a highly valued senior executive”.

If the tribunal upholds the regulator’s disqualification, Axa and Mr Penn could take the appeal to the Federal Court.

Asia-Pacific Chairman Rick Allert yesterday described APRA’s actions as “quite extraordinary” and says he has “no doubt” Mr Penn will be cleared.