FINANCIAL SECTOR REFORM (HAYNE ROYAL COMMISSION RESPONSE-BETTER ADVICE) BILL 2021

2019-2020-2021

The Parliament of the

Commonwealth of Australia

HOUSE OF REPRESENTATIVES

Presented and read a first time

Financial Sector Reform (Hayne Royal

Commission Response--Better Advice)

Bill 2021

No. , 2021

(Treasury)

A Bill for an Act to amend the law in relation to

financial services, and for related purposes

No. , 2021

Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

Contents

Short title ........................................................................................... 1

Commencement ................................................................................. 1

Schedules ........................................................................................... 2

Schedule 1--Initial amendments

Part 1--Main amendments

Australian Securities and Investments Commission Act 2001

Corporations Act 2001

Part 2--Other amendments

Division 1--Amendments

Freedom of Information Act 1982

National Consumer Credit Protection Act 2009

Tax Agent Services Act 2009

Division 2--Application of amendments to the Tax Agent Services

Act 2009

Part 3--Contingent amendments

Corporations Act 2001

Schedule 2--Later amendments

Corporations Act 2001

No. , 2021

Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

A Bill for an Act to amend the law in relation to

financial services, and for related purposes

The Parliament of Australia enacts:

1 Short title

This Act is the

Financial Sector Reform (Hayne Royal Commission

Response--Better Advice) Act 2021

2 Commencement

(1) Each provision of this Act specified in column 1 of the table

commences, or is taken to have commenced, in accordance with

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

No. , 2021

Commencement information

Column 1

Column 2

Column 3

Provisions

Commencement

Date/Details

1. Sections 1 to 3

and anything in

this Act not

elsewhere covered

by this table

The day this Act receives the Royal Assent.

2. Schedule 1,

Parts 1 and 2

1 January 2022.

1 January 2022

3. Schedule 1,

Part 3

At the same time as item 1150 of Schedule 1

to the

Treasury Laws Amendment (Registries

Modernisation and Other Measures) Act

2020

commences.

4. Schedule 2

A single day to be fixed by Proclamation.

However, if the provisions do not commence

within the period of 4

years beginning on the

day this Act receives the Royal Assent, they

commence on the day after the end of that

period.

Note:

This table relates only to the provisions of this Act as originally

enacted. It will not be amended to deal with any later amendments of

this Act.

(2) Any information in column 3 of the table is not part of this Act.

Information may be inserted in this column, or information in it

may be edited, in any published version of this Act.

3 Schedules

Legislation that is specified in a Schedule to this Act is amended or

repealed as set out in the applicable items in the Schedule

concerned, and any other item in a Schedule to this Act has effect

according to its terms.

Initial amendments

Schedule 1

Main amendments

Part 1

No. , 2021

Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

Schedule 1--Initial amendments

Part 1--Main amendments

Australian Securities and Investments Commission Act 2001

1 Subsection 5(1)

Insert:

Financial Services and Credit Panel

means a panel convened

under subsection 139(1).

2 Subsection 5(1) (paragraph (a) of the definition of

member

)

After "the Panel,", insert "a Financial Services and Credit Panel,".

3 Subsection 5(1) (after paragraph (a) of the definition of

member

)

Insert:

(aa) in relation to a Financial Services and Credit Panel--a

member of the panel appointed under subsection 140(1); and

4 Subsection 5(1)

Insert:

proposed action notice

has the same meaning as in Part 7.6 of the

Corporations Act.

relevant provider

has the same meaning as in Part 7.6 of the

Corporations Act.

restricted civil penalty provision

has the same meaning as in

Part 7.6 of the Corporations Act.

Tax Practitioners Board

means the Tax Practitioners Board

established by section 60-5 of the

Tax Agent Services Act 2009

5 After paragraph 11(2)(a)

Insert:

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Advice) Bill 2021

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(aa) to provide such staff and support facilities to Financial

Services and Credit Panels as are necessary or desirable for

the performance and exercise by the panels of their functions

and powers;

6 Section 93AA (heading)

After "

undertakings

", insert "

given to ASIC

7 At the end of subsection 102(2)

Add:

; or (f) a Financial Services and Credit Panel.

8 After paragraph 127(2A)(c)

Insert:

(ca) a Financial Services and Credit Panel;

(cb) the Tax Practitioners Board;

9 Paragraph 127(4)(e)

Omit "legislation; or", substitute "legislation;".

10 Paragraph 127(4)(f)

Repeal the paragraph.

11 After paragraph 136(1)(d)

Insert:

(da) information about the following:

(i) the activities (if any) that have been undertaken by each

Financial Services and Credit Panel during the period;

(ii) the exams (if any) that have been administered by ASIC

under subsection 921B(3) of the Corporations Act

during the period;

(iii) the warnings (if any) and reprimands (if any) given by

ASIC to relevant providers under section 921S of the

Corporations Act during the period;

(iv) if, during the period, ASIC decided not to follow a

recommendation in a notice given to ASIC under

subsection 921Q(1) of the Corporations Act

(recommendations to ASIC in relation to restricted civil

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Advice) Bill 2021

penalty provisions)--the recommendation and the

reasons why ASIC decided not to follow it;

12 After Part 8

Insert:

Part 9--Financial Services and Credit Panels

Division 1--ASIC to convene panels

139 ASIC to convene panels

(1) ASIC may, in writing, convene one or more Financial Services and

Credit Panels.

(2) ASIC must, in circumstances prescribed by the regulations (if any),

convene a panel under subsection (1) to perform functions or

exercise powers under the corporations legislation in relation to a

relevant provider.

(3) A panel convened under subsection (1) must consist of the

following members appointed under subsection 140(1):

(a) a Chair;

(b) at least 2 other members.

(4) The Chair must be a staff member.

Division 2--Panel members

140 Appointment of panel members

(1) A member of a Financial Services and Credit Panel is to be

appointed by ASIC by written instrument.

(2) If a determination is in force under subsection 141(1), a person

must not be appointed as a member of a Financial Services and

Credit Panel unless the person is specified in the determination.

(3) However, subsection (2) does not apply in relation to the

appointment of the Chair of a Financial Services and Credit Panel.

Schedule 1

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Advice) Bill 2021

No. , 2021

141 Minister may specify persons who are eligible to be appointed to

panels

(1) The Minister may make a written determination specifying persons

who are eligible to be appointed to Financial Services and Credit

Panels.

(2) The Minister must not specify a person for the purposes of

subsection (1) unless:

(a) the person is not a member of ASIC; and

(b) the person is not a staff member; and

knowledge in at least one of the following fields:

(i) business;

(ii) administration of companies;

(iii) financial markets;

(iv) financial products and financial services;

(v) law;

(vi) economics;

(vii) accounting;

(viii) taxation;

(ix) credit activities and credit services.

(3) In specifying a person for the purposes of subsection (1), the

Minister may consult the Tax Practitioners Board.

(4) A determination made under subsection (1) is not a legislative

instrument.

142 Disclosure of interests to ASIC

A person specified in a determination in force under subsection

141(1) must give written notice to ASIC of all interests, pecuniary

or otherwise, that the person has or acquires and that could conflict

with the proper performance of the person's duties if the person

were to be appointed as a member of a Financial Services and

Credit Panel.

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Schedule 1

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Part 1

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Advice) Bill 2021

143 Allowances

(1) A member of a Financial Services and Credit Panel is to be paid

the allowances that are determined by the Remuneration Tribunal.

If no determination of those allowances by the Tribunal is in

operation, a member is to be paid the allowances that are

prescribed under subsection (3).

(2) This section has effect subject to the

Remuneration Tribunal Act

1973

(3) The Minister may, by legislative instrument, prescribe allowances

for the purposes of subsection (1).

144 Resignation

(1) A member of a Financial Services and Credit Panel may resign the

member's appointment by giving ASIC a written resignation.

(2) The resignation takes effect on the day it is received by ASIC or, if

a later day is specified in the resignation, on that later day.

145 Termination of appointment

ASIC may at any time terminate the appointment of a member of a

Financial Services and Credit Panel.

146 Other terms and conditions

A member of a Financial Services and Credit Panel holds office on

the terms and conditions (if any) in relation to matters not covered

by this Act that are determined in writing by ASIC.

147 Application of finance law

A member of a Financial Services and Credit Panel (other than the

Chair of the panel) is not an official of ASIC for the purposes of

the finance law (within the meaning of the

Public Governance,

Performance and Accountability Act 2013

Schedule 1

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Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

No. , 2021

Division 3--Decisions of panels

Subdivision A--Decisions of panels at meetings

148 Convening meetings

(1) The Chair of a Financial Services and Credit Panel must hold such

meetings as are necessary for the panel to:

(a) perform its functions and exercise its powers under the

corporations legislation; and

(b) perform functions or exercise powers delegated to the panel

by ASIC under section 102 of this Act.

(2) The Chair of a Financial Services and Credit Panel may convene a

meeting at any time.

(3) However, the Chair of a Financial Services and Credit Panel must

not convene a meeting if the Chair has or acquires any interest,

pecuniary or otherwise, that conflicts or could conflict with the

proper performance of the Chair's duties in a matter being

considered or about to be considered by the panel.

(4) The Chair of a Financial Services and Credit Panel must, by

written notice given to ASIC, disclose any interest of a kind

mentioned in subsection (3).

149 Presiding at meetings

The Chair of a Financial Services and Credit Panel must preside at

all meetings of the panel.

150 Disclosure of interests to panels

(1) A member of a Financial Services and Credit Panel (other than the

Chair of the panel) who has or acquires any interest, pecuniary or

otherwise, that conflicts or could conflict with the proper

performance of the member's duties in a matter being considered

or about to be considered by the panel must disclose the nature of

the interest to the Chair of the panel.

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(2) The disclosure must be made as soon as possible after the relevant

facts have come to the member's knowledge.

(3) The disclosure must be recorded:

(a) if the disclosure is made at a meeting of the panel--in the

minutes of that meeting; or

(b) otherwise--in the minutes of the next meeting of the panel

after the disclosure is made.

(4) At a meeting of the panel after the disclosure is made, the member:

(a) must not be present during any deliberation by the panel on

the matter; and

(b) must not take part in any decision of the panel with respect to

the matter.

151 Quorum

(1) At a meeting of a Financial Services and Credit Panel, a quorum is

constituted by a majority of members of the panel.

(2) However, if:

(a) a member of the panel is required under section 150 not to be

present during the deliberations, or to take part in any

decision, of the panel with respect to a particular matter; and

(b) when the member leaves the meeting concerned there is no

longer a quorum present;

the remaining members of the panel at the meeting constitute a

quorum for the purpose of any deliberation or decision at that

meeting with respect to that matter.

152 Voting at meetings

(1) A question arising at a meeting of a Financial Services and Credit

Panel is to be determined by a majority of the votes of the

members of the panel present and voting.

(2) The Chair of the panel has a deliberative vote and, if the votes are

equal, a casting vote.

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Advice) Bill 2021

No. , 2021

153 Participation in meetings etc.

(1) The Chair of a Financial Services and Credit Panel may decide to

hold all or part of a meeting:

(a) at a particular place; or

(b) using any technology that allows an individual to participate

in the meeting, or that part of the meeting, without being

physically present at the meeting or that part of the meeting.

(2) If the Chair of the panel decides to hold all or part of a meeting

using technology of a kind mentioned in paragraph (1)(b):

(a) each member of the panel may use that technology to

participate in the meeting or that part of the meeting; and

(b) the meeting or that part of the meeting may be held at 2 or

more places at the same time.

154 Conduct of meetings

A Financial Services and Credit Panel may, subject to this

Division, regulate proceedings at its meetings as it considers

appropriate.

155 Minutes

A Financial Services and Credit Panel must keep minutes of its

meetings.

Subdivision B--Decisions of panels without meetings

156 Decisions without meetings

(1) A Financial Services and Credit Panel is taken to have made a

decision at a meeting if:

(a) the Chair of the panel informs the other members of the panel

of the proposed decision, or makes reasonable efforts to do

so; and

(b) without meeting, a majority of the members of the panel

entitled to vote on the proposed decision indicate agreement

with the decision; and

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Advice) Bill 2021

determined by the panel under subsection (2).

(2) Subsection (1) applies only if:

(a) the Chair of the panel is not prevented by subsection 148(3)

from convening a meeting in relation to the proposed

decision; and

(b) the panel:

(i) has determined that it may make decisions of that kind

without meeting; and

(ii) has determined the method by which members of the

panel are to indicate agreement with proposed decisions.

(3) For the purposes of paragraph (1)(b):

(a) a member of the panel (other than the Chair of the panel) is

not entitled to vote on a proposed decision if the member

would not have been entitled to vote on that proposal if the

matter had been considered at a meeting of the panel; and

(b) if:

(i) the number of members indicating agreement with the

decision is equal to the number of members not

indicating agreement with the decision; and

(ii) the Chair of the panel indicates the Chair's agreement

with the decision;

a majority of the members of the panel entitled to vote on the

proposed decision is taken to have indicated agreement with

the decision.

(4) The panel must keep a record of decisions made in accordance

with this section.

Division 4--Panel hearings

Subdivision A--General

157 When hearings are to be held

(1) A Financial Services and Credit Panel may only hold a hearing as

required or permitted by this section.

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(2) A Financial Services and Credit Panel must hold a hearing if:

(a) the panel proposes to make:

(i) a decision to make an order, as an ASIC delegate,

against a person under subsection 920A(1) of the

Corporations Act (ASIC's power to make a banning

order); or

(ii) a decision to make an order, as an ASIC delegate,

against a person under subsection 80(1) of the

National

Consumer Credit Protection Act 2009

(ASIC's power to

make a banning order); or

(b) a relevant provider requests that the panel hold a hearing in

response to a proposed action notice given to the relevant

provider.

(3) A Financial Services and Credit Panel may hold a hearing if ASIC

makes a request of the panel under:

(a) paragraph 171E(3)(a) of this Act (variation, withdrawal and

enforcement of undertakings given to Financial Services and

Credit Panels); or

(b) subsection 921N(2) or paragraph 921N(4)(a) of the

Corporations Act (variation or revocation of instruments

affecting relevant providers).

158 Panels to take account of evidence and submissions

A Financial Services and Credit Panel must take into account the

following:

(a) any evidence given, or any submission made, to it at a

hearing of the panel;

(b) any submission lodged with it under subsection 162(2);

in making a decision on a matter to which the evidence or

submission relates.

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Subdivision B--Hearing procedures

159 Proceedings at hearings

(1) A hearing of a Financial Services and Credit Panel must be

conducted with as little formality and technicality, and with as

much expedition, as a proper consideration of the matters before

the panel permits.

(2) At a hearing of a Financial Services and Credit Panel, the panel:

(a) is not bound by the rules of evidence; and

(b) may, on such conditions as it thinks fit, permit a person to

intervene; and

(3) The Chair of a Financial Services and Credit Panel may decide to

hold all or part of a hearing of the panel:

(a) at a particular place; or

(b) using any technology that allows an individual to participate

in the hearing, or that part of the hearing, without being

physically present at the hearing or that part of the hearing.

(4) If the Chair of a Financial Services and Credit Panel decides to

hold all or part of a hearing using technology of a kind mentioned

in paragraph (3)(b):

(a) each participant in the hearing (including each member of the

panel) may use that technology to participate in the hearing

or that part of the hearing; and

(b) the hearing or that part of the hearing may be held at 2 or

more places at the same time.

(5) Subdivision A of Division 3 (decisions of panels at meetings)

applies, so far as practicable, in relation to a hearing of a Financial

Services and Credit Panel as if the hearing were a meeting of the

panel.

160 Notice of hearings

If a Financial Services and Credit Panel holds a hearing in relation

to a proposed decision affecting a person:

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(a) the Chair of the panel must appoint a time for the hearing and

give written notice of that time to the person; and

(b) if the Chair of the panel decides under paragraph 159(3)(a) to

hold the hearing, or part of the hearing, at a particular

place--the Chair must give written notice of the place to the

person; and

hold the hearing, or part of the hearing, using technology that

allows an individual to participate in the hearing, or that part

of the hearing, without being physically present at the

hearing or that part of the hearing--the Chair must give

notice of the technology to be used to the person.

161 Who may be present at hearings etc.

(1) A person must not be present at a hearing, or a part of a hearing, of

a Financial Services and Credit Panel in relation to a proposed

decision affecting a person (the

affected person

) unless:

(a) the panel has decided, under paragraph 163(2)(a), to hold the

hearing or the part of the hearing, as the case may be, in

public; or

(b) the person is required by a summons under subsection 165(1)

to appear at the hearing; or

person; or

(d) both the following apply:

(i) the person is a staff member;

(ii) the Chair of the panel has not directed the person to

leave the hearing or the part of the hearing, as the case

may be; or

(e) the person is covered by subsection (2).

Note:

Failure to comply with this subsection is an offence (see subsection

171(1)).

(2) This subsection covers the following:

(a) the affected person;

(b) a person who is, under section 164, representing:

(i) the affected person; or

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(ii) a person required by a summons under subsection

165(1) to appear at the hearing.

162 Appearance of affected persons at hearings

(1) A person does not need to appear at a hearing of a Financial

Services and Credit Panel in relation to a proposed decision

affecting the person (even if the person requested the hearing in

response to a proposed action notice given to the person).

(2) If the person chooses not to appear at the hearing, the person may,

before the day of the hearing, lodge with the panel any written

submissions that the person wishes the panel to take into account in

relation to the proposed decision.

163 Affected persons may request hearings to be held in public

(1) A person may request that a hearing (or a part of a hearing) of a

Financial Services and Credit Panel in relation to a proposed

decision affecting the person be held in public.

(2) The panel must decide to:

(a) hold the hearing (or that part of the hearing) in public; or

(b) not hold the hearing (or that part of the hearing) in public.

(3) In making a decision under subsection (2), the panel must have

regard to the following:

(a) whether evidence that may be given, or a matter that may

arise, during the hearing (or that part of the hearing) is of a

confidential nature or relates to the commission, or to the

alleged or suspected commission, of an offence;

(b) any unfair prejudice to a person's reputation that would be

likely to be caused if the hearing (or that part of the hearing)

took place in public;

part of the hearing) take place in public;

(d) any other relevant matter.

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164 Representation at hearings

(1) At a hearing of a Financial Services and Credit Panel, an individual

may appear in person or be represented by an employee of the

individual approved by the panel.

(2) A body corporate may be represented at a hearing of a Financial

Services and Credit Panel by an officer or employee of the body

corporate approved by the panel.

(3) An unincorporated association, or a person in the person's capacity

as a member of an unincorporated association, may be represented

at a hearing of a Financial Services and Credit Panel by a member,

officer or employee of the association approved by the panel.

(4) Any person may be represented at a hearing of a Financial Services

and Credit Panel by a barrister or solicitor of the Supreme Court of

a State or Territory or of the High Court.

165 Power to require persons to appear and give evidence etc.

(1) At or prior to a hearing of a Financial Services and Credit Panel in

relation to a proposed decision affecting a person (the

affected

person

), the Chair of the panel may, by written summons given to

a person (other than the affected person):

(a) require the person to appear before the panel at the hearing to

give evidence, to produce specified documents, or to do both;

and

(b) require the person to attend from day to day unless excused,

or released from further attendance, by the Chair.

Note 1:

The affected person does not need to appear at the hearing (see

subsection 162(1)).

Note 2:

Failure to comply with a requirement made under this subsection is an

offence (see subsection 170(1)).

(2) At a hearing of a Financial Services and Credit Panel, the panel

may take evidence on oath or affirmation, and for that purpose the

Chair of the panel may:

(a) require a person appearing at the hearing to either take an

oath or make an affirmation; and

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(b) administer an oath or affirmation to a person appearing at the

hearing.

Note:

Failure to comply with a requirement made under this subsection is an

offence (see subsection 170(2)).

(3) The oath or affirmation to be taken or made by a person for the

purposes of subsection (2) is an oath or affirmation that the

evidence the person will give will be true.

(4) The Chair of a Financial Services and Credit Panel presiding at a

hearing of the panel:

(a) may require a person appearing at the hearing to answer a

question put to the person; and

(b) may require a person appearing at the hearing pursuant to a

summons issued under this section to produce a document

specified in the summons.

Note:

Failure to comply with a requirement made under this subsection is an

offence (see subsection 170(3)).

(5) The Chair of a Financial Services and Credit Panel may permit a

person appearing at a hearing of the panel to give evidence by

tendering, and if the Chair so requires, verifying by oath or

affirmation, a written statement.

166 Allowances and expenses

A person required by a summons under subsection 165(1) to

appear at a hearing of a Financial Services and Credit Panel in

relation to a proposed decision affecting a person (the

affected

person

) is entitled to be paid the prescribed allowances and

expenses (if any) by:

(a) if the summons was issued at the affected person's request--

the affected person; or

(b) otherwise--ASIC.

167 Panels may restrict publication of certain material

(1) If, at a hearing of a Financial Services and Credit Panel, the panel

is satisfied that it is desirable to restrict the publication of evidence

given before the panel, or matters contained in documents lodged

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with the panel, the panel may give a written direction restricting

the publication of that evidence or those matters.

Note:

Failure to comply with a direction in force under this subsection is an

offence (see subsection 171A(1)).

(2) In determining whether it is desirable to restrict the publication of

evidence given before the panel, or matters contained in documents

lodged with the panel, the panel must have regard to:

(a) whether evidence that has been or may be given, or a matter

that has arisen or may arise, during the hearing is:

(i) of a confidential nature; or

(ii) relates to the commission, or to the alleged or suspected

commission, of an offence against an Australian law;

and

(b) any unfair prejudice to a person's reputation that would be

likely to be caused unless the panel gives a direction

restricting the publication of that evidence or those matters;

and

direction restricting the publication of that evidence or those

matters; and

(d) any other relevant matter.

Subdivision C--Offences

168 Contempt of panels

(1) A person commits an offence if:

(a) the person does an act or omits to do an act; and

(b) the act or omission results in the obstruction or hindering of a

Financial Services and Credit Panel, or a member of the

panel, in the performance or exercise of any of the panel's

functions and powers.

Penalty: 2 years imprisonment.

(2) A person commits an offence if:

(a) the person does an act or omits to do an act; and

(b) the act or omission results in the disruption of a hearing.

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Penalty: 2 years imprisonment.

169 Giving false evidence

(1) A person commits an offence if:

(a) the person gives evidence at a hearing of a Financial Services

and Credit Panel; and

(b) the evidence is false or misleading in a material particular.

Penalty: 2 years imprisonment.

(2) Subsection (1) does not apply if the person, when giving the

evidence, reasonably believed that it was true and not misleading.

Note:

A defendant bears an evidential burden in relation to the matter in

subsection (2) (see subsection 13.3(3) of the

Criminal Code

170 Failing to comply with certain requirements

(1) A person commits an offence if:

(a) the person is required to do something in accordance with a

summons given to the person under subsection 165(1); and

(b) the person fails to comply with the requirement.

Penalty: 50 penalty units.

(2) A person commits an offence if:

(a) the person is required under paragraph 165(2)(a) to take an

oath or make an affirmation; and

(b) the person fails to comply with the requirement.

Penalty: 50 penalty units.

(3) A person commits an offence if:

(a) the person is required under subsection 165(4) to answer a

question or produce a document; and

(b) the person fails to comply with the requirement.

Penalty: 50 penalty units.

(4) An offence against subsection (1), (2) or (3) is an offence of strict

liability.

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171 Being present at hearings

(1) A person commits an offence if:

(a) the person is present at a hearing, or a part of a hearing, of a

Financial Services and Credit Panel; and

(b) the panel has not decided, under paragraph 163(2)(a), to hold

the hearing or the part of the hearing, as the case may be, in

public; and

panel in force under paragraph 161(1)(c); and

(d) the person is not covered by subsection 161(2).

Penalty: 30 penalty units.

(2) An offence against subsection (1) is an offence of strict liability.

171A Publication of restricted material

(1) A person commits an offence if:

(a) the person publishes evidence given before, or matters

contained in documents lodged with, a Financial Services

and Credit Panel; and

(b) a direction restricting the publication of that evidence or

those matters is in force under subsection 167(1).

Penalty: 120 penalty units.

(2) An offence against subsection (1) is an offence of strict liability.

Subdivision D--Other matters

171B Reference to Court of question of law arising at hearing

(1) ASIC may, at the request of the Chair of a Financial Services and

Credit Panel, refer to the Court for decision a question of law

arising at a hearing of the panel.

(2) Where a question is referred under subsection (1), the panel must

not, in relation to a matter to which the hearing relates:

(a) make, while the reference is pending, a decision to which the

question is relevant; or

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(b) proceed in a manner, or make a decision, that is inconsistent

with the Court's opinion on the question.

(3) Where a question is referred under subsection (1):

(a) ASIC must send to the Court all documents that were before

the panel in connection with the hearing; and

(b) at the end of the proceeding in the Court in relation to the

reference, the Court must cause the documents to be returned

to ASIC.

171C Protection of panel members etc.

(1) A member of a Financial Services and Credit Panel has, in the

performance or exercise of any of the member's functions and

powers as a member in relation to a hearing of the panel, the same

protection and immunity as a Justice of the High Court.

(2) A barrister, solicitor or other person representing a person at a

hearing of a Financial Services and Credit Panel has the same

protection and immunity as a barrister in appearing for a party in a

proceeding in the High Court.

(3) Subject to this Act, a person who is required by a summons under

subsection 165(1) to appear at a hearing of a Financial Services

and Credit Panel, or a person appearing at a such a hearing, has the

same protection as a witness in a proceeding in the High Court.

Division 5--Information given to panel members

171D Use and disclosure of information

(1) A person commits an offence if:

(a) the person is or was a member of a Financial Services and

Credit Panel; and

(b) the person uses or discloses information; and

with the performance of the panel's functions or the exercise

of the panel's powers.

Penalty: 2 years imprisonment.

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(2) Subsection (1) does not apply if the use or disclosure:

(a) is required or permitted by a law of the Commonwealth or a

prescribed law of a State or Territory; or

(b) is made to ASIC for the purposes of the performance of

ASIC's functions, or the exercise of its powers, under the

corporations legislation or the

National Consumer Credit

Protection Act 2009

; or

performance of the Board's functions, or the exercise of its

powers, under the

Tax Agent Services Act 2009

; or

(d) is made for the purposes of the performance of the panel's

functions or the exercise of its powers; or

(e) is made to another Financial Services and Credit Panel for

the purposes of the performance of the other panel's

functions or the exercise of the other panel's powers.

Note:

A defendant bears an evidential burden in relation to the matters in

subsection (2) (see subsection 13.3(3) of the

Criminal Code

Division 6--Enforceable undertakings

171E Variation, withdrawal and enforcement of undertakings given

to Financial Services and Credit Panels

(1) A Financial Services and Credit Panel may accept a written

undertaking given by a person in connection with a matter in

relation to which the panel may make an instrument under

subsection 921K(1) of the Corporations Act (power of Financial

Services and Credit Panels to take action against relevant

providers).

Variation or withdrawal of undertaking

(2) The person may apply to ASIC to withdraw or vary the

undertaking.

(3) If the person makes an application under subsection (2), ASIC

must decide to:

(a) request a Financial Services and Credit Panel to decide

whether it consents to the person withdrawing or varying the

undertaking; or

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(b) refuse to make such a request.

(4) The person may withdraw or vary the undertaking only if:

(a) ASIC makes a request of a Financial Services and Credit

Panel under paragraph (3)(a) in relation to the variation or

withdrawal; and

(b) the panel consents to the variation or withdrawal.

Enforcement of undertaking

(5) If ASIC considers that the person who gave the undertaking has

breached any of its terms, ASIC may apply to the Court for an

order under subsection (6).

(6) If the Court is satisfied that the person has breached a term of the

undertaking, the Court may make all or any of the following

orders:

(a) an order directing the person to comply with that term of the

undertaking;

(b) an order directing the person to pay to the Commonwealth an

amount up to the amount of any financial benefit that the

person has obtained directly or indirectly and that is

reasonably attributable to the breach;

person to compensate any other person who has suffered loss

or damage as a result of the breach;

(d) any other order that the Court considers appropriate.

Division 7--Electronic communication

171F Electronic communication of documents

Documents given by panels etc.

(1) Section 921W of the Corporations Act applies in relation to a

document that is required or permitted under this Part to be given

to a person by:

(a) a Financial Services and Credit Panel; or

(b) the Chair of a Financial Services and Credit Panel; or

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as if the document were covered by subsection (1) of that section.

Documents given to panels etc.

(2) Section 921X of the Corporations Act applies in relation to a

document that is required or permitted under this Part to be given

by a person to:

(a) a Financial Services and Credit Panel; or

(b) the Chair of a Financial Services and Credit Panel; or

as if the document were covered by subsection (1) of that section.

13 At the end of subsection 244(2)

Add:

; or (d) to refuse, under paragraph 171E(3)(b), to make a request

mentioned in paragraph 171E(3)(a).

Corporations Act 2001

14 Section 9

Insert:

BAS agent

has the same meaning as in the

Tax Agent Services Act

2009

Financial Services and Credit Panel

, when used in a provision

outside Chapter 7, has the same meaning as it has in Chapter 7.

proposed action notice

, when used in a provision outside

Chapter 7, has the same meaning as it has in Chapter 7.

registered tax agent

has the same meaning as in the

Tax Agent

Services Act 2009

response period

, when used in a provision outside Chapter 7, has

the same meaning as it has in Chapter 7.

restricted civil penalty provision

, when used in a provision outside

Chapter 7, has the same meaning as it has in Chapter 7.

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15 Paragraph 766B(5)(c)

Omit "(within the meaning of the

Tax Agent Services Act 2009

)".

16 Section 910A

Insert:

cancellation time

, in relation to a registration prohibition order,

has the meaning given by subparagraph 921L(1)(c)(i).

17 Section 910A (definition of

Code of Ethics

)

Repeal the definition, substitute:

Code of Ethics

means the Code of Ethics in force under

section 921E.

18 Section 910A

Repeal the following definitions:

(a) definition of

compliance scheme

;

(b) definition of

covers

19 Section 910A

Insert:

CPD provision

(short for continuing professional development

provision) means:

(a) subsection 921BA(4); or

(b) subsection 921BB(3).

Financial Services and Credit Panel

has

the same meaning as in

the ASIC Act.

20 Section 910A (definition of

monitoring body

)

Repeal the definition.

21 Section 910A (definition of

notice provision

)

Omit "922HD,".

22 Section 910A (definition of

professional association

)

Repeal the definition.

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23 Section 910A

Insert:

prohibition end day

, in relation to a registration prohibition order,

has the meaning given by subparagraph 921L(1)(c)(ii).

proposed action notice

has the meaning given by subsection

921P(1).

qualified tax relevant provider

: a person is a

qualified tax relevant

provider

if:

(a) the person is a relevant provider; and

(b) if a determination is in force under subsection 921BB(1)--

the person meets each requirement set out in the

determination that is of a kind mentioned in any of

paragraphs (a) to (d) of that subsection.

registration prohibition order

has the meaning given by paragraph

921L(1)(c).

registration

suspension order

has the meaning given by paragraph

921L(1)(b).

response period

, for a proposed action notice, has the meaning

given by paragraph 921P(2)(b).

restricted civil penalty provision

has the meaning given by

subsection 921Q(3).

24 Section 910A (definition of

standards body

)

Repeal the definition.

25 Section 910A

Insert:

suspension period

, in relation to a registration suspension order,

has the meaning given by paragraph 921L(1)(b).

tax (financial) advice service

has the same meaning as in the

Tax

Agent Services Act 2009

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Tax Practitioners Board

means the Tax Practitioners Board

established by section 60-5 of the

Tax Agent Services Act 2009

26 Paragraph 912A(1)(f)

Omit "section 921D", substitute "the CPD provisions".

27 Subsection 913B(1) (note 2)

Omit "the education and training standards in subsections 921B(2) to

(4)", substitute "certain requirements".

28 Subsection 916A(1) (note)

Omit "the education and training standards in subsections 921B(2) to

(4)", substitute "certain requirements".

29 Subsection 916B(3) (note)

Omit "the education and training standards in subsections 921B(2) to

(4)", substitute "certain requirements".

30 Paragraph 920A(1)(e)

Omit "section 921E", substitute "subsection 921E(3)".

31 After subsection 920A(1)

Insert:

(1AA) Subsection (1) has effect subject to subsection (2).

32 Subsection 920A(2)

Omit "However, ASIC may only make a banning order against a

person", substitute "Subject to subsection (3), if ASIC has not delegated

its power to make a banning order against a person to a Financial

Services and Credit Panel, ASIC may make the order only".

33 At the end of subsection 920A(2)

Add:

Note:

If ASIC delegates its power to make a banning order against a person

to a Financial Services and Credit Panel, the panel may make the

order only after holding a hearing in relation to the proposed order

(see section 157 of the ASIC Act).

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34 Subsection 920A(3)

Repeal the subsection, substitute:

(3) ASIC may make a banning order against a person without giving

the person the opportunities mentioned in subsection (2) if:

(a) either:

(i) ASIC has not delegated its power to make the banning

order to a Financial Services and Credit Panel; or

(ii) ASIC exercises its power to make the banning order

despite such a delegation; and

(b) ASIC's grounds for making the banning order are or include

both of the following:

(i) that the suspension or cancellation of the relevant

licence took place under section 915B;

(ii) that the person has been convicted of serious fraud.

Note:

See section 34AB of the

Acts Interpretation Act 1901

(effect of

delegation).

35 Division 8A of Part 7.6 (at the end of the heading)

Add "

etc.

36 Paragraph 921B(2)(a)

Omit "standards body under section 921U", substitute "Minister".

37 Subparagraph 921B(2)(b)(ii)

Repeal the subparagraph, substitute:

(ii) the Minister has approved the foreign qualification

under section 921G.

38 Subsection 921B(3)

Omit "approved by the standards body", substitute "administered under

this subsection by ASIC in accordance with principles approved by the

Minister".

39 Subsection 921B(4)

Omit "standards body", substitute "Minister".

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40 Subsection 921B(5)

Omit "standards body", substitute "Minister".

41 Subsection 921B(5) (note)

Repeal the note.

42 At the end of section 921B

Add:

Determinations by Minister

(6) The Minister may, by legislative instrument, do any or all of the

following in one or more determinations:

(a) approve bachelor or higher degrees, or equivalent

qualifications, for the purposes of paragraph (2)(a);

(b) approve principles for the purposes of subsection (3);

subsection (4);

(d) set requirements for continuing professional development for

the purposes of subsection (5) in relation to the CPD year of

a financial services licensee, the period mentioned in

subsection 1546E(5), or any other period determined by the

Minister.

(7) Before exercising the power in subsection (6), the Minister must be

satisfied that doing so is necessary or desirable to ensure that

relevant providers are adequately trained and competent to provide

personal advice to retail clients in relation to relevant financial

products.

43 After section 921B

Insert:

921BA Relevant providers to meet education and training standards

Qualifications

(1) A relevant provider must meet the education and training standard

in subsection 921B(2).

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Exam

(2) A relevant provider must meet the education and training standard

in subsection 921B(3).

Work and training

(3) A relevant provider must either:

(a) meet the education and training standard in

subsection 921B(4); or

(b) be undertaking work and training in accordance with that

subsection.

Continuing professional development

(4) A relevant provider must comply with subsection 921B(5):

(a) in the case of a relevant provider who is a financial services

licensee--during the licensee's CPD year; or

(b) in the case of a relevant provider who is authorised to

provide personal advice to retail clients, on behalf of a

financial services licensee, in relation to relevant financial

products--during the licensee's CPD year.

Note:

Section 922HB requires a notice to be given at the end of a financial

services licensee's CPD year if a relevant provider has not complied

with this subsection during that year.

Civil liability

(5) A person contravenes this subsection if the person contravenes

subsection (1), (2), (3) or (4).

Note 1:

This subsection is a restricted civil penalty provision (see sections

921Q and 1317E).

Note 2:

ASIC or a Financial Services and Credit Panel may take certain other

action against a relevant provider who contravenes subsection (1), (2),

(3) or (4) (see Division 8B).

Note 3:

Exemptions apply in relation to certain relevant providers (see section

921BC).

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921BB Additional requirements for relevant providers who provide

tax (financial) advice services

(1) The Minister may, by legislative instrument, determine any or all

of the following requirements for a person who provides, or is to

provide, a tax (financial) advice service:

(a) a requirement that the person has completed one or more

specified bachelor or higher degrees;

(b) a requirement that the person has completed one or more

specified qualifications;

specified courses;

(d) a requirement that the person has undertaken specified work

and training;

(e) a requirement for continuing professional development in

relation to the CPD year of a financial services licensee or

any other period determined by the Minister.

(2) Before exercising the power in subsection (1), the Minister must be

satisfied that doing so is necessary or desirable to ensure that

relevant providers are adequately trained and competent to provide

tax (financial) advice services.

Continuing professional development

(3) If a determination in force under subsection (1) sets out a

requirement mentioned in paragraph (1)(e), a relevant provider

who provides tax (financial) advice services must comply with that

requirement:

(a) in the case of a relevant provider who is a financial services

licensee--during the licensee's CPD year; or

(b) in the case of a relevant provider who is authorised to

provide personal advice to retail clients, on behalf of a

financial services licensee, in relation to relevant financial

products--during the licensee's CPD year.

Note:

Section 922HB requires a notice to be given at the end of a financial

services licensee's CPD year if a relevant provider has not complied

with this subsection during that year.

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Civil liability

(4) A person contravenes this subsection if the person contravenes

subsection (3).

Note 1:

This subsection is a restricted civil penalty provision (see sections

921Q and 1317E).

Note 2:

ASIC or a Financial Services and Credit Panel may take certain other

action against a relevant provider who contravenes subsection (3) (see

Division 8B).

Note 3:

Exemptions apply in relation to certain relevant providers (see section

921BC).

921BC Exemptions for certain relevant providers

Time-sharing schemes

(1) Sections 921BA and 921BB do not apply to a relevant provider if

the only relevant financial product in relation to which the relevant

provider provides personal advice to retail clients is a time-sharing

scheme.

Provisional relevant providers

(2) The CPD provisions do not apply to provisional relevant providers.

44 Sections 921C and 921D

Repeal the sections, substitute:

Subdivision AA--Limitations on authorisation to provide

personal advice

921C Limitation on authorisation to provide personal advice unless

conditions met

Financial services licensees

(1) ASIC must not grant an applicant an Australian financial services

licence that covers the provision of personal advice to retail clients

in relation to relevant financial products if the applicant is an

individual and any of the following paragraphs apply:

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(a) the applicant has not met any one or more of the education

and training standards in subsections 921B(2) to (4);

(b) if:

(i) the applicant is to provide a tax (financial) advice

service; and

(ii) a determination in force under subsection 921BB(1) sets

out a requirement mentioned in any of paragraphs (a) to

the applicant has not met the requirement;

(i) the applicant is to provide a tax (financial) advice

service; and

(ii) a determination in force under subsection 921BB(1)

includes a requirement for a person who is to provide a

tax (financial) advice service to have undertaken

specified work and training;

the applicant has not undertaken that work and training.

Authorised representatives

(2) A financial services licensee must not, under section 916A, give a

person a written notice authorising the person to provide personal

advice to retail clients, on behalf of the licensee, in relation to

relevant financial products if the person is an individual and any of

the following paragraphs apply:

(a) the person has not met either or both of the education and

training standards in subsections 921B(2) and (3);

(b) the person has not met the education and training standard in

subsection 921B(4), and is not undertaking work and training

in accordance with that subsection;

(i) the person is to provide a tax (financial) advice service;

and

(ii) a determination in force under subsection 921BB(1) sets

out a requirement mentioned in any of paragraphs (a) to

(d) of that subsection;

the person has not met the requirement.

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Sub-authorisations

(3) An authorised representative of a financial services licensee must

not, under subsection 916B(3), give an individual a written notice

authorising that individual to provide personal advice to retail

clients, on behalf of the licensee, in relation to relevant financial

products if any of the following paragraphs apply:

(a) the individual has not met either or both of the education and

training standards in subsections 921B(2) and (3);

(b) the individual has not met the education and training standard

in subsection 921B(4), and is not undertaking work and

training in accordance with that subsection;

(i) the individual is to provide a tax (financial) advice

service; and

(ii) a determination in force under subsection 921BB(1) sets

out a requirement mentioned in any of paragraphs (a) to

(d) of that subsection;

the individual has not met the requirement.

Employees and directors

(4) A financial services licensee must not authorise an employee or

director of the licensee, or of a related body corporate of the

licensee, to provide personal advice to retail clients, on behalf of

the licensee, in relation to relevant financial products if any of the

following paragraphs apply:

(a) the employee or director has not met either or both of the

education and training standards in subsections 921B(2) and

(3);

(b) the employee or director has not met the education and

training standard in subsection 921B(4), and is not

undertaking work and training in accordance with that

subsection;

(i) the employee or director is to provide a tax (financial)

advice service; and

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(ii) a determination in force under subsection 921BB(1) sets

out a requirement mentioned in any of paragraphs (a) to

(d) of that subsection;

the employee or director has not met the requirement.

Exemption in relation to time-sharing schemes

(5) This section does not apply in relation to a person who is to

provide personal advice to retail clients in relation to relevant

financial products if the only relevant financial product in relation

to which the person is to provide personal advice to retail clients is

a time-sharing scheme.

45 Section 921E

Repeal the section, substitute:

921E Code of Ethics

(1) The Minister may, by legislative instrument, make a Code of

Ethics.

(2) Without limiting subsection 33(3A) of the

Acts Interpretation Act

1901

, the Code of Ethics may make different provision in relation

to different classes of relevant provider.

(3) A relevant provider must comply with the Code of Ethics.

Note 1:

Subsection (3) is a restricted civil penalty provision (see sections

921Q and 1317E).

Note 2:

ASIC or a Financial Services and Credit Panel may take certain other

action against a relevant provider who contravenes subsection (3) (see

Division 8B).

46 Section 921F (note)

Repeal the note.

47 At the end of section 921F

Add:

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Civil liability

(8) A person contravenes this subsection if the person contravenes

subsection (3), (4), (6) or (7).

Note 1:

Subsection (8) is a restricted civil penalty provision (see sections

921Q and 1317E).

Note 2:

ASIC or a Financial Services and Credit Panel may take certain other

action against a relevant provider who contravenes subsection (3), (4),

(6) or (7) (see Division 8B).

48 At the end of Division 8A of Part 7.6

Add:

Subdivision D--Other matters

921G Approval of foreign qualifications

Application for approval

(1) A person who has completed a foreign qualification may apply to

the Minister in the form approved, in writing, by the Minister for

approval of the foreign qualification.

Approval or refusal to approve

(2) The Minister must either:

(a) approve the foreign qualification in accordance with

subsection (3); or

(b) refuse to approve the foreign qualification.

(3) The Minister may approve the foreign qualification only if:

(a) the Minister is satisfied that the foreign qualification gives

the person qualifications equivalent to a degree or

qualification approved by the Minister for the purposes of

paragraph 921B(2)(a); or

(b) both of the following apply:

(i) the Minister specifies one or more courses to be

completed by the person under subsection (4) of this

section;

(ii) the person completes each of those courses.

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(4) The Minister may specify one or more courses for the purposes of

paragraph (3)(b) only if the Minister is satisfied that (together with

the person's foreign qualification) the course or courses will give

the person qualifications equivalent to a degree or qualification

approved by the Minister for the purposes of paragraph 921B(2)(a).

When approval comes into force

(5) An approval under paragraph (2)(a) comes into force:

(a) if the Minister specifies one or more courses to be completed

by the person under subsection (4)--when the person has

completed all of those courses; or

(b) otherwise--when it is given.

921H Modifications of Part in relation to continuing professional

development

(1) The Minister may, by legislative instrument, determine

modifications of the operation of a provision in this Part in relation

to a period determined by the Minister under:

(a) paragraph 921B(6)(d); or

(b) paragraph 921BB(1)(e).

(2) A determination made under subsection (1) has effect according to

its terms, despite any other provision of this Act.

49 Divisions 8B and 8C of Part 7.6

Repeal the Divisions, substitute:

Division 8B--Action against relevant providers

Subdivision A--Action by Financial Services and Credit Panels

921K Power of Financial Services and Credit Panels to take action

against relevant providers

(1) Subject to subsections (2) and (3), a Financial Services and Credit

Panel may make an instrument of a kind specified in subsection

921L(1) in relation to a relevant provider if:

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(a) the relevant provider becomes an insolvent under

administration; or

(b) the relevant provider is convicted of fraud; or

specified in section 921U but subject to Part VIIC of the

Crimes Act 1914

, that the relevant provider is not a fit and

proper person to provide personal advice to retail clients in

relation to relevant financial products; or

(d) the panel reasonably believes that the relevant provider has

contravened a financial services law (including a restricted

civil penalty provision); or

(e) the relevant provider has been involved in the contravention

of a financial services law (including a restricted civil penalty

provision) by another person; or

(f) the relevant provider has, at least twice, been linked to a

refusal or failure to give effect to a determination made by

AFCA relating to a complaint that relates to:

(i) a financial services business; or

(ii) credit activities (within the meaning of the

National

Consumer Credit Protection Act 2009

); or

(g) subsection 920A(1C) (when a person has been an officer of a

corporation unable to pay its debts) applies to the relevant

provider in relation to 2 or more corporations.

Note 1:

Part VIIC of the

Crimes Act 1914

includes provisions that, in certain

circumstances, relieve persons from the requirement to disclose spent

convictions and require persons aware of such convictions to

disregard them.

Note 2:

Subsection 921E(3) (relevant providers to comply with the Code of

Ethics) is a financial services law.

Note 3:

To work out whether a relevant provider has been linked as described

in paragraph (f), see section 910C.

Proposed action notice given in relation to relevant circumstances

(2) A Financial Services and Credit Panel must not make an

instrument under subsection (1) in relation to a relevant provider

because of circumstances (the

relevant circumstances

) mentioned

in that subsection unless:

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(a) the panel gave the relevant provider a proposed action notice

in relation to a proposal to make the instrument because of

the relevant circumstances and either:

(i) no submission or request for a hearing was made within

the response period for the notice; or

(ii) a submission or request for a hearing was made within

the response period for the notice and the panel has

taken into account the submission or held the hearing

(as the case may be); or

(b) all of the following apply:

(i) the panel gave the relevant provider a proposed action

notice in relation to a proposal to make a different

instrument in relation to the relevant circumstances or to

give the relevant provider an infringement notice in

relation to the relevant circumstances;

(ii) a submission or request for a hearing was made within

the response period for the notice;

(iii) the panel has taken into account the submission or held

the hearing (as the case may be).

Infringement notices, warnings and reprimands

(3) A Financial Services and Credit Panel must not make an

instrument under subsection (1) in relation to a relevant provider

because of circumstances mentioned in that subsection if the panel,

or another Financial Services and Credit Panel, has given the

relevant provider an infringement notice, or a warning or

reprimand, in relation to those circumstances.

When a person contravenes a financial services law

(4) To avoid doubt, a person contravenes a financial services law if a

person fails to comply with a duty imposed under that law, even if

the provision imposing the duty is not an offence provision or a

civil penalty provision.

Instruments not legislative

(5) An instrument made under subsection (1) is not a legislative

instrument.

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Interaction with ASIC Act

(6) Subsection (2) does not limit section 158 of the ASIC Act (panels

to take account of evidence and submissions).

921L Instruments that Financial Services and Credit Panels may

make in relation to relevant providers

(1) For the purposes of subsection 921K(1), the following kinds of

instrument are specified:

(a) a written direction that a relevant provider:

(i) undertake specified training; or

(ii) receive specified counselling; or

(iii) receive specified supervision; or

(iv) report specified matters to ASIC;

(b) a written order (a

registration

suspension order

) suspending

a relevant provider's registration under subsection 921ZC(1)

for a period (the

suspension period

) specified in the order;

registration prohibition order

) that:

(i) cancels the registration of a relevant provider under

subsection 921ZC(1) at a time (the

cancellation time

)

specified in the order; and

(ii) provides that the relevant provider is not to be registered

under that subsection until after a day (the

prohibition

end day

) specified in the order.

Note:

If a registration prohibition order is in force against a relevant

provider:

(a) the relevant provider's registration under subsection 921ZC(1)

will cease to be in force at the cancellation time specified in the

order (unless the registration has ceased to be in force at an

earlier time) (see sections 921ZD and 921ZE); and

(b) ASIC must refuse to register the relevant provider until after the

prohibition end day specified in the order (see subsection

921ZC(3)).

Effect of paragraph (1)(a) direction

(2) A relevant provider must comply with a direction in relation to the

relevant provider that is in force under paragraph (1)(a).

Note:

This subsection is a civil penalty provision (see section 1317E).

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Effect of registration suspension order

(3) For the purposes of this Part, if a registration suspension order is in

force against a relevant provider, the relevant provider's

registration under subsection 921ZC(1) is taken not to be in force

during the suspension period specified in the order.

Suspension period and cancellation time

(4) The suspension period specified in a registration suspension order

that is made in relation to a relevant provider must begin at or after

the time a copy of the order is given to the relevant provider.

(5) The cancellation time specified in a registration prohibition order

that is made in relation to a relevant provider must be a time that is

at or after a copy of the order is given to the relevant provider.

When instruments come into force

(6) An instrument of a kind specified in subsection (1) that is made in

relation to a relevant provider comes into force when a copy of it is

given to the relevant provider in accordance with subsection

921M(1).

921M Copy of instrument to be given to relevant provider etc.

(1) If, under subsection 921K(1), a Financial Services and Credit Panel

makes an instrument in relation to a relevant provider, the panel

must:

(a) give a copy of the instrument to the relevant provider; and

(b) at the same time, give a copy of the instrument to:

(i) ASIC; and

(ii) if the relevant provider is authorised to provide personal

advice to retail clients, on behalf of a financial services

licensee, in relation to relevant financial products--the

licensee; and

informing the relevant provider of their right to make an

application under subsection 921N(3) in relation to the

instrument.

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Note:

ASIC must enter details of certain instruments in the Register of

Relevant Providers (see paragraph 922Q(2)(uc)).

(2) A copy of an instrument given to a person under paragraph (1)(a)

or (b) must be accompanied by a statement of reasons for the

decision to make the instrument.

(3) A failure to comply with subsection (1) or (2) in relation to an

instrument does not affect the validity of the instrument.

921N Variation or revocation of instruments affecting relevant

providers

(1) This section applies if an instrument of a kind specified in

subsection 921L(1) is in force against a relevant provider.

Variation or revocation at ASIC's initiative

(2) ASIC may request a Financial Services and Credit Panel to make a

decision under subsection (5) in relation to the instrument if ASIC

is satisfied that there has been a change in any of the circumstances

on the basis of which the instrument was made.

Application by relevant provider for variation or revocation

(3) The relevant provider may apply to ASIC in the approved form for:

(a) the instrument to be revoked; or

(b) a specified variation to be made to the instrument.

(4) If the relevant provider makes an application under subsection (3),

ASIC must decide to:

(a) request a Financial Services and Credit Panel to make a

decision under subsection (5) in relation to the instrument; or

(b) refuse to make such a request.

Decisions of Financial Services and Credit Panel about variations

or revocations

(5) If ASIC makes a request of a Financial Services and Credit Panel

under subsection (2) or paragraph (4)(a), the panel must decide to:

(a) revoke the instrument; or

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(b) if the relevant provider made an application under

subsection (3)--make the variation of the instrument

specified in the application; or

provider made an application under subsection (3) and the

application specified another variation); or

(d) refuse to revoke the instrument; or

(e) refuse to vary the instrument.

(6) The panel must give written notice of the panel's decision to:

(a) if the decision is mentioned in paragraph (5)(a), (b) or (c)--

all of the following:

(i) the relevant provider;

(ii) ASIC;

(iii) if the relevant provider is authorised to provide personal

advice to retail clients, on behalf of a financial services

licensee, in relation to relevant financial products--the

licensee; or

(b) otherwise--the relevant provider.

(7) A notice given under subsection (6) must be accompanied by a

statement of reasons for the decision to which the notice relates.

Subdivision B--Proposed action notices etc.

921P Proposed action notice

(1) A Financial Services and Credit Panel must give a written notice (a

proposed action notice

) to a relevant provider if the panel proposes

to:

(a) make an instrument under subsection 921K(1) in relation to

the relevant provider because of circumstances (the

relevant

circumstances

) mentioned in that subsection; or

(b) give the relevant provider an infringement notice for the

alleged contravention by the relevant provider of a restricted

civil penalty provision.

(2) The proposed action notice must:

(a) set out details of the action proposed to be taken, including:

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(i) for an action mentioned in paragraph (1)(a)--the

relevant circumstances; and

(ii) for an action mentioned in paragraph (1)(b)--the

alleged contravention and the amount to be stated in the

infringement notice for the purposes of

paragraph 1317DAP(1)(f); and

(b) invite the relevant provider to do either of the following

within the period of 28 days beginning on the day the notice

is given (or such longer period as is approved by the panel)

(the

response period

(i) make a submission, in writing, in relation to the action;

(ii) make a request, in writing, that the panel hold a hearing

under Division 4 of Part 9 of the ASIC Act in relation to

the action; and

for a hearing is made within the response period, the panel

may take the action; and

(d) for an action mentioned in paragraph (1)(a)--inform the

relevant provider that if the panel makes an instrument under

subsection 921K(1), ASIC may be required to enter details of

the instrument in the Register of Relevant Providers in

accordance with paragraph 922Q(2)(uc).

921Q Recommendations to ASIC in relation to restricted civil

penalty provisions

(1) If a Financial Services and Credit Panel reasonably believes that a

relevant provider has contravened a restricted civil penalty

provision, the panel may, by written notice given to ASIC,

recommend that ASIC make an application under

subsection 1317J(1) in relation to the alleged contravention.

Note:

If ASIC decides to not follow the panel's recommendation, ASIC

must report on the recommendation and ASIC's reasons for not

following it (see subparagraph 136(1)(da)(iv) of the ASIC Act).

(2) Subsection (1) applies whether or not the panel also makes an

instrument under subsection 921K(1) in relation to the alleged

contravention by the relevant provider.

(3) Each of the following is a

restricted civil penalty provision

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(a) subsection 921BA(5);

(b) subsection 921BB(4);

(d) subsection 921F(8);

(e) section 921Y.

921R Notices to Tax Practitioners Board about qualified tax

relevant providers who are registered tax agents

(1) ASIC must give a written notice to the Tax Practitioners Board if

an action specified in subsection (2) is taken against a qualified tax

relevant provider who is a registered tax agent.

(2) The following actions are specified:

(a) a Financial Services and Credit Panel making an instrument

under subsection 921K(1) in relation to the qualified tax

relevant provider;

(b) ASIC giving the qualified tax relevant provider a warning or

reprimand under subsection 921S(1);

relevant provider a warning or reprimand under subsection

921T(1);

(d) a Financial Services and Credit Panel giving the qualified tax

relevant provider an infringement notice for the alleged

contravention by the qualified tax relevant provider of a

restricted civil penalty provision;

(e) ASIC making an application under subsection 1317J(1) in

relation to the alleged contravention by the qualified tax

relevant provider of a restricted civil penalty provision;

(f) a Financial Services and Credit Panel accepting an

undertaking by the qualified tax relevant provider under

subsection 171E(1) of the ASIC Act.

(3) A notice under subsection (1) must include:

(a) details of the action; and

(b) if the action is a Financial Services and Credit Panel making

an instrument under subsection 921K(1)--the panel's reasons

for making the instrument; and

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provider a warning or reprimand--ASIC's reasons for giving

the warning or reprimand; and

(d) if the action is a Financial Services and Credit Panel giving

the qualified tax relevant provider a warning or reprimand--

the panel's reasons for giving the warning or reprimand.

Notice about variation etc. of certain instruments

(4) ASIC must give a written notice to the Tax Practitioners Board if:

(a) ASIC has given a notice to the Tax Practitioners Board under

subsection (1); and

(b) an instrument mentioned in that notice is subsequently

varied, revoked or withdrawn.

(5) A notice under subsection (4) must include details of the variation,

revocation or withdrawal, as the case may be.

Subdivision C--Warnings and reprimands

921S Warnings and reprimands by ASIC

(1) ASIC must give a relevant provider a written warning or reprimand

if:

(a) ASIC reasonably believes that one or more of the following

circumstances exist or have occurred in relation to the

relevant provider:

(i) the relevant provider is not a fit and proper person to

provide personal advice to retail clients in relation to

relevant financial products, having regard to the matters

specified in section 921U but subject to Part VIIC of the

Crimes Act 1914

;

(ii) the relevant provider has contravened a financial

services law (including a restricted civil penalty

provision);

(iii) a circumstance mentioned in any of paragraphs

921K(1)(a), (b), (e), (f) or (g) (power of Financial

Services and Credit Panels to take action against

relevant providers); and

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(b) ASIC has not convened, and does not propose to convene, a

Financial Services and Credit Panel under subsection 139(1)

of the ASIC Act to perform functions or exercise powers

under the corporations legislation in relation to that

circumstance or those circumstances; and

any of its powers under the corporations legislation (other

than this section) against the relevant provider in relation to

that circumstance or those circumstances.

Note:

Part VIIC of the

Crimes Act 1914

includes provisions that, in certain

circumstances, relieve persons from the requirement to disclose spent

convictions and require persons aware of such convictions to

disregard them.

(2) If the relevant provider is authorised to provide personal advice to

retail clients, on behalf of a financial services licensee, in relation

to relevant financial products, ASIC must give a copy of the

warning or reprimand to the licensee.

(3) The warning or reprimand, and any copy of the warning or

reprimand given to a financial services licensee under

subsection (2), must be accompanied by a statement of reasons for

the decision to give the warning or reprimand.

(4) A warning or reprimand given under subsection (1) is not a

legislative instrument.

921T Warnings and reprimands by Financial Services and Credit

Panels

(1) A Financial Services and Credit Panel may give a relevant provider

a written warning or reprimand if the panel reasonably believes

that:

(a) the relevant provider is not a fit and proper person to provide

personal advice to retail clients in relation to relevant

financial products, having regard to the matters specified in

section 921U but subject to Part VIIC of the

Crimes Act

1914

; or

(b) the relevant provider has contravened a financial services law

(including a restricted civil penalty provision); or

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(b), (e), (f) or (g) (power of Financial Services and Credit

Panels to take action against relevant providers) exists or has

occurred in relation to the relevant provider.

Note:

Part VIIC of the

Crimes Act 1914

includes provisions that, in certain

circumstances, relieve persons from the requirement to disclose spent

convictions and require persons aware of such convictions to

disregard them.

(2) If a Financial Services and Credit Panel gives a relevant provider a

warning or reprimand under subsection (1), the panel must, at the

same time, give a copy of the warning or reprimand to:

(a) ASIC; and

(b) if the relevant provider is authorised to provide personal

advice to retail clients, on behalf of a financial services

licensee, in relation to relevant financial products--the

licensee.

(3) The warning or reprimand, and each copy of the warning or

reprimand given to a person under subsection (2), must be

accompanied by a statement of reasons for the decision to give the

warning or reprimand.

(4) A warning or reprimand given under subsection (1) is not a

legislative instrument.

Subdivision D--Fit and proper person test

921U Fit and proper person test for relevant providers

The following matters are specified in relation to a relevant

provider and a Financial Services and Credit Panel:

(a) whether any of the following of the relevant provider has

ever been suspended or cancelled:

(i) an Australian financial services licence;

(ii) an Australian credit licence, or a registration under the

Transitional Act, within the meaning of the

National

Consumer Credit Protection Act 2009

;

(b) whether any of the following has ever been made against the

relevant provider:

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(i) a banning order, or a disqualification order under

Subdivision B of Division 8 of this Part;

(ii) a banning order, or a disqualification order, under

Part 2-4 of the

National Consumer Credit Protection

Act 2009

;

under this Act, or any other law of the Commonwealth or of

a State or Territory, from managing corporations;

(d) whether the relevant provider has ever been banned from

engaging in a credit activity (within the meaning of the

National Consumer Credit Protection Act 2009

) under a law

of a State or Territory;

(e) whether the relevant provider has ever been linked to a

refusal or failure to give effect to a determination made by

AFCA;

(f) whether the relevant provider has ever been an insolvent

under administration;

(g) whether, in the last 10 years, the relevant provider has been

convicted of an offence;

(h) any relevant information given to ASIC, or an authority of a

State or Territory, in relation to the relevant provider;

(i) whether, in the last 10 years, a Financial Services and Credit

Panel has made an instrument under subsection 921K(1) in

relation to the relevant provider;

(j) whether, in the last 10 years, a Financial Services and Credit

Panel has given the relevant provider an infringement notice

(unless the infringement notice was withdrawn);

(k) any other matter prescribed by the regulations;

(l) any other matter the panel considers relevant.

Subdivision E--Review of decisions made under this Division

etc.

921V Review of decisions etc.

Review of decisions

(1) A person may apply to the Tribunal for review of any of the

following:

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(a) a decision by a Financial Services and Credit Panel to make

an instrument under subsection 921K(1);

(b) a decision by a Financial Services and Credit Panel that is

covered by paragraph 921N(5)(c), (d) or (e);

relevant provider a warning or reprimand under subsection

921T(1).

Notice of reviewable decisions and review rights

(2) Section 1317D applies in relation to a decision by a Financial

Services and Credit Panel that is covered by subsection (1) of this

section as if:

(a) the panel were a decision maker for the purposes of

section 1317D; and

(b) the decision were a decision to which section 1317B applied.

Subdivision F--Electronic communication

921W Electronic communication of documents given by Financial

Services and Credit Panels etc.

(1) This section applies to any document that is required or permitted

to be given to a person:

(a) by a Financial Services and Credit Panel, or the Chair of a

Financial Services and Credit Panel, under a provision of this

Act; or

(b) by ASIC under any of the following:

(i) Division 8A of this Part (Professional standards for

relevant providers etc.);

(ii) this Division;

(iii) Division 8C of this Part (Registration of relevant

providers);

(iv) Division 3 of Part 9.4AB (Infringement notices given by

Financial Services and Credit Panels).

(2) The document may be given to the recipient by means of an

electronic communication.

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(3) The document may be given by giving the recipient (by means of

an electronic communication or otherwise) sufficient information

to allow the recipient to access the document electronically.

(4) However, an electronic communication or electronic access may

only be used if, at the time the electronic communication is used or

information about the electronic access is given:

(a) it is reasonable to expect that the document would be readily

accessible so as to be useable for subsequent reference; and

(b) there is a nominated electronic address in relation to the

recipient.

921X Electronic communication of documents given to Financial

Services and Credit Panels etc.

(1) This section applies to any document that is required or permitted

to be given to:

(a) a Financial Services and Credit Panel, or the Chair of a

Financial Services and Credit Panel, under a provision of this

Act; or

(b) ASIC under any of the following:

(i) Division 8A of this Part (Professional standards for

relevant providers etc.);

(ii) this Division;

(iii) Division 8C of this Part (Registration of relevant

providers);

(iv) Division 3 of Part 9.4AB (Infringement notices given by

Financial Services and Credit Panels).

Giving a document to a Financial Services and Credit Panel etc.

(2) The document may be given to the recipient by means of an

electronic communication.

Signing the document

(3) If the document is required to be signed by the person under a

provision mentioned in subsection (1), that requirement is taken to

have been met in relation to the electronic communication of the

document if:

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(a) the person receives a copy or counterpart of the document:

(i) that is in a physical form; or

(ii) by means of an electronic communication; and

(b) the copy or counterpart includes the entire contents of the

document; and

communication, that the person has signed the document; and

(d) a method is used to identify the person and to indicate the

person's intention in respect of the information

communicated in the document; and

(e) the method used was either:

(i) as reliable as appropriate for the purpose for which the

document was generated or communicated, in light of

all the circumstances, including any relevant agreement;

(ii) proven in fact to have fulfilled the functions described

in paragraph (d), by itself or together with further

evidence.

(4) For the purposes of paragraph (3)(b), a copy or counterpart of a

document need not include:

(a) the signature of another person signing the document; or

(b) any material included in the document to identify another

person signing the document or to indicate another person's

intention in respect of the contents of the document.

Division 8C--Registration of relevant providers

Subdivision A--Requirement for relevant providers to be

registered

921Y Unregistered relevant providers not to provide personal advice

A relevant provider must not provide personal advice to retail

clients in relation to relevant financial products unless a

registration of the relevant provider under subsection 921ZC(1) is

in force.

Note:

This section is a restricted civil penalty provision (see sections 921Q

and 1317E).

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921Z Financial services licensees not to continue to authorise

unregistered relevant providers to provide personal

advice

Authorised representatives

(1) A financial services licensee contravenes this subsection if:

(a) the licensee has given a relevant provider a written notice

under subsection 916A(1) authorising the relevant provider

to provide personal advice to retail clients, on behalf of the

licensee, in relation to relevant financial products; and

(b) the relevant provider provides such advice; and

(i) the licensee has not revoked the authorisation under

subsection 916A(4); and

(ii) no registration of the relevant provider under subsection

921ZC(1) is in force.

Employees and directors

(2) A financial services licensee contravenes this subsection if:

(a) the licensee authorises a relevant provider who is an

employee or director of the licensee, or of a related body

corporate of the licensee, to provide personal advice to retail

clients, on behalf of the licensee, in relation to relevant

financial products; and

(b) the relevant provider provides such advice; and

(i) the licensee has not ceased to authorise the relevant

provider as described in paragraph (a); and

(ii) no registration of the relevant provider under subsection

921ZC(1) is in force.

Strict liability offence

(3) A person commits an offence of strict liability if the person

contravenes subsection (1) or (2).

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Civil liability

(4) A person contravenes this subsection if the person contravenes

subsection (1) or (2).

Note:

This subsection is a civil penalty provision (see section 1317E).

Subdivision B--Applications for registration

921ZA Application for registration--relevant providers who are

financial services licensees

(1) A relevant provider who is a financial services licensee may apply

to ASIC to be registered under subsection 921ZC(1).

Note:

A notice must be lodged with ASIC under section 922D if a person

becomes a relevant provider.

(2) The application must:

(a) be in the approved form; and

(b) include the following written declarations by the relevant

provider:

(i) that the relevant provider is a fit and proper person to

provide personal advice to retail clients in relation to

relevant financial products;

(ii) if subsection 921BA(1) applies to the relevant

provider--that the relevant provider has met the

education and training standard in subsection 921B(2);

(iii) if subsection 921BA(2) applies to the relevant

provider--that the relevant provider has met the

education and training standard in subsection 921B(3);

(iv) if subsection 921BA(3) applies to the relevant

provider--that the relevant provider has met the

education and training standard in subsection 921B(4);

(v) if the relevant provider provides, or is to provide, a tax

(financial) advice service--that the relevant provider is

a qualified tax relevant provider.

Note:

A person may commit an offence or contravene a civil penalty

provision if the person gives false or misleading information (see

section 1308 of this Act and section 137.1 of the

Criminal Code

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(3) Subject to Part VIIC of the

Crimes Act 1914

, the relevant provider

must have regard to the matters specified in section 921U (other

than the matters specified in paragraphs (h) and (l) of that section)

for the purposes of making a declaration mentioned in

subparagraph (2)(b)(i) of this section.

Note:

Part VIIC of the

Crimes Act 1914

includes provisions that, in certain

circumstances, relieve persons from the requirement to disclose spent

convictions and require persons aware of such convictions to

disregard them.

921ZB Application for registration--relevant providers who are not

financial services licensees

(1) A financial services licensee may apply to ASIC to register a

relevant provider under subsection 921ZC(1).

Note 1:

A notice must be lodged with ASIC under section 922D if a person

becomes a relevant provider.

Note 2:

An application cannot be made under this subsection in relation to a

provisional relevant provider (see subparagraph (2)(b)(v) of this

section).

(2) The application must:

(a) be in the approved form; and

(b) include the following:

(i) a written declaration by the licensee that the relevant

provider has given the licensee a declaration that the

relevant provider is a fit and proper person to provide

personal advice to retail clients in relation to relevant

financial products;

(ii) a written declaration by the licensee as to whether the

licensee is aware of any reason why the relevant

provider might not be a fit and proper person to provide

personal advice to retail clients in relation to relevant

financial products;

(iii) if subsection 921BA(1) applies to the relevant

provider--a written declaration by the licensee that the

relevant provider has met the education and training

standard in subsection 921B(2);

(iv) if subsection 921BA(2) applies to the relevant

provider--a written declaration by the licensee that the

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relevant provider has met the education and training

standard in subsection 921B(3);

(v) if subsection 921BA(3) applies to the relevant

provider--a written declaration by the licensee that the

relevant provider has met the education and training

standard in subsection 921B(4);

(vi) if the relevant provider provides, or is to provide, a tax

(financial) advice service--a written declaration by the

licensee that the relevant provider is a qualified tax

relevant provider.

Note:

A person may commit an offence or contravene a civil penalty

provision if the person gives false or misleading information (see

section 1308 of this Act and section 137.1 of the

Criminal Code

(3) Subject to Part VIIC of the

Crimes Act 1914

, the relevant provider

and the licensee must have regard to the matters specified in

section 921U (other than the matters specified in paragraphs (h)

and (l) of that section) for the purposes of making a declaration

mentioned in subparagraph (2)(b)(i) or (ii) of this section.

Note:

Part VIIC of the

Crimes Act 1914

includes provisions that, in certain

circumstances, relieve persons from the requirement to disclose spent

convictions and require persons aware of such convictions to

disregard them.

Subdivision C--Registration and period of registration

921ZC Registration of relevant providers

(1) Subject to subsections (2) and (3), if an application is made in

accordance with section 921ZA or 921ZB to register a relevant

provider, ASIC must register the relevant provider by recording in

the Register of Relevant Providers that the relevant provider is

registered under this subsection.

Refusal to register relevant provider

(2) ASIC must refuse to register the relevant provider if:

(a) a banning order is in force against the relevant provider that

has the effect that the relevant provider is prohibited from

providing personal advice to retail clients in relation to

relevant financial products; or

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(b) a disqualification order under Division 8 is in force against

the relevant provider that has the effect of disqualifying the

relevant provider from providing personal advice to retail

clients in relation to relevant financial products.

(3) If a registration prohibition order is in force against the relevant

provider, ASIC must refuse to register the relevant provider until

after the prohibition end day specified in the order.

Notice of registration

(4) If:

(a) the application is made in accordance with section 921ZA;

and

(b) ASIC registers the relevant provider under subsection (1);

ASIC must, as soon as practicable after recording in the Register of

Relevant Providers that the relevant provider is registered under

subsection (1), give a written notice of the registration to the

relevant provider.

(5) If:

(a) the application is made in accordance with section 921ZB;

and

(b) ASIC registers the relevant provider under subsection (1);

ASIC must, as soon as practicable after recording in the Register of

Relevant Providers that the relevant provider is registered under

subsection (1), give a written notice of the registration to:

(d) the applicant.

Notice of refusal to register relevant provider

(6) If ASIC refuses to register the relevant provider, ASIC must,

within 5 business days after the refusal, give a written notice of the

refusal to:

(a) the relevant provider; and

(b) if the application is made in accordance with section

921ZB--the applicant.

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(7) The notice must specify which of the following provisions apply in

relation to the relevant provider:

(a) paragraph (2)(a) or (b);

(b) subsection (3).

921ZD Period of registration--relevant providers who are financial

services licensees

If a relevant provider who is a financial services licensee makes an

application in accordance with section 921ZA, and ASIC registers

the relevant provider under subsection 921ZC(1), the registration:

(a) comes into force when ASIC records in the Register of

Relevant Providers that the relevant provider is registered

under subsection 921ZC(1); and

(b) remains in force until the earliest of the following:

(i) the cancellation time specified in a registration

prohibition order in force against the relevant provider;

(ii) the time when a banning order against the relevant

provider takes effect;

(iii) the relevant provider's Australian financial services

licence ceases to be in force.

921ZE Period of registration--relevant providers who are not

financial services licensees

If a financial services licensee makes an application in accordance

with section 921ZB in relation to a relevant provider, and ASIC

registers the relevant provider under subsection 921ZC(1), the

registration:

(a) comes into force when ASIC records in the Register of

Relevant Providers that the relevant provider is registered

under subsection 921ZC(1); and

(b) remains in force until the earliest of the following:

(i) the cancellation time specified in a registration

prohibition order in force against the relevant provider;

(ii) the time when a banning order against the relevant

provider takes effect;

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(iii) the licensee ceases to authorise the relevant provider to

provide personal advice to retail clients, on behalf of the

licensee, in relation to relevant financial products.

Note:

A notice must be lodged under section 922H when there is a change in

a matter for a relevant provider.

50 Paragraphs 922E(1)(h) and (i)

Repeal the paragraphs, substitute:

(h) information about the educational qualifications of, and any

training courses completed by, the relevant provider, to the

extent that the qualifications and training courses are relevant

to the provision of financial services.

51 Subsection 922E(2) (heading)

Omit "

and memberships

52 Subsection 922E(2)

Omit "subparagraph (1)(h)(i)", substitute "paragraph (1)(h)".

53 Paragraphs 922F(1)(m) and (n)

Repeal the paragraphs, substitute:

(m) information about the educational qualifications of, and any

training courses completed by, the relevant provider, to the

extent that the qualifications and training courses are relevant

to the provision of financial services.

54 Subsection 922F(2) (heading)

Omit "

and memberships

55 Subsection 922F(2)

Omit "subparagraph (1)(m)(i)", substitute "paragraph (1)(m)".

56 Subsection 922H(1) (note)

Omit "Another example would be a change in the compliance scheme

that covers a relevant provider.".

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57 Section 922HB (heading)

Omit "

continuing professional development standard

", substitute

CPD provisions

58 Paragraph 922HB(1)(c)

Repeal the paragraph, substitute:

(i) a CPD provision applied to the relevant provider; and

(ii) the relevant provider did not comply with that

provision.

59 Subsection 922HB(1) (note 1)

Omit "Note 1", substitute "Note".

60 Subsection 922HB(1) (note 2)

Repeal the note.

61 Subsection 922HB(2)

Repeal the subsection, substitute:

(2) The notice must state which of the CPD provisions the relevant

provider did not comply with during the licensee's CPD year.

62 Section 922HD

Repeal the section.

63 Paragraph 922L(2)(d)

Repeal the paragraph.

64 Subsection 922L(3)

Omit ", (d)".

65 Subsection 922L(6)

Repeal the subsection.

66 Subparagraph 922N(1)(c)(ii)

Repeal the subparagraph.

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67 Subsection 922P(1)

Omit ", 922H and 922HD", substitute "and 922H".

68 Paragraph 922Q(2)(m)

After "in relation to the relevant provider", insert "and a CPD

provision".

69 Paragraph 922Q(2)(m)

Omit "section 921D", substitute "the CPD provision".

70 Paragraph 922Q(2)(q)

Repeal the paragraph, substitute:

(q) information about any undertaking that the relevant provider

has given under:

(i) section 93AA or 171E of the ASIC Act; or

(ii) section 322 of the

National Consumer Credit Protection

Act 2009

;

71 Paragraph 922Q(2)(r)

Repeal the paragraph.

72 Paragraphs 922Q(2)(u) and (v)

Repeal the paragraphs, substitute:

(u) information about the educational qualifications of, and any

training courses completed by, the relevant provider (but not

courses completed in accordance with a CPD provision), to

the extent that the qualifications and training courses are

relevant to the provision of financial services;

(ua) whether a registration of the relevant provider is in force

under subsection 921ZC(1);

(ub) whether the relevant provider provides, or is to provide, a tax

(financial) advice service;

(uc) if an instrument of a kind prescribed by regulations made for

the purposes of subsection (3) is given to, or made in relation

to, the relevant provider--details of the instrument;

(ud) if a Financial Services and Credit Panel gives the relevant

provider an infringement notice and the relevant provider

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pays the amount stated in the notice before the end of the

payment period for the notice--all of the following:

(i) details of the notice;

(ii) a statement that the relevant provider has complied with

the notice;

(iii) a statement that compliance with the notice is not an

admission of guilt or liability;

(iv) a statement that the relevant provider is not regarded as

having contravened the provision specified in the

notice;

(ue) any declaration under section 1317E that the relevant

provider has contravened a restricted civil penalty provision;

73 At the end of section 922Q

Add:

(3) The regulations may prescribe instruments of one or more of the

following kinds:

(a) an instrument made by a Financial Services and Credit Panel

under subsection 921K(1);

(b) a warning or reprimand given by ASIC under subsection

921S(1);

Credit Panel under subsection 921T(1).

74 Paragraph 923C(9)(b)

Omit "specified by the standards body for the purposes of

subparagraph 921U(2)(a)(v)", substitute "determined by the Minister

under subsection (9A)".

75 After subsection 923C(9)

Insert:

(9A) The Minister may, by legislative instrument, determine a word or

expression for the purposes of paragraph (9)(b).

76 Before section 1317DAM

Insert:

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Division 1--General

77 After subsection 1317DAM(1)

Insert:

(1A) Subject to section 1317DAPA, if a Financial Services and Credit

Panel believes on reasonable grounds that a person has

contravened a restricted civil penalty provision, the panel may give

the person an infringement notice for the alleged contravention.

78 Subsection 1317DAM(2)

Omit "The", substitute "An".

79 Subsection 1317DAM(4)

After "ASIC", insert "or a Financial Services and Credit Panel".

80 Paragraph 1317DAP(1)(k)

Repeal the paragraph, substitute:

(k) state that the person may apply to:

(i) if the notice was given to the person by a Financial

Services and Credit Panel--the panel; or

(ii) otherwise--ASIC;

to have the period in which to pay the amount extended or for

an arrangement to pay the amount by instalments; and

81 Paragraph 1317DAP(2)(c)

After "provision", insert "that is not a restricted civil penalty

provision".

82 Paragraph 1317DAP(2)(d)

After "provision", insert "that is not a restricted civil penalty

provision".

83 At the end of subsection 1317DAP(2)

Add:

; and (e) for a single contravention of a restricted civil penalty

provision--12 penalty units; and

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(f) for multiple contraventions of a restricted civil penalty

provision--12 penalty units multiplied by the number of

contraventions.

84 After section 1317DAP

Insert:

1317DAPA Giving infringement notices in relation to restricted civil

penalty provisions

Giving an infringement notice following proposed action notice

(1) A Financial Services and Credit Panel must not give a person an

infringement notice for the alleged contravention by the person of a

restricted civil penalty provision unless:

(a) the panel gave the person a proposed action notice in relation

to a proposal to give the infringement notice to the person

and either:

(i) no submission or request for a hearing was made within

the response period for the notice; or

(ii) a submission or request for a hearing was made within

the response period for the notice and the panel has

considered the submission or held the hearing (as the

case may be); or

(b) all of the following apply:

(i) the panel gave the relevant provider a proposed action

notice in relation to a proposed instrument under

subsection 921K(1) in relation to the person and

circumstances mentioned in that subsection;

(ii) those circumstances consist of, or include, the

contravention;

(iii) a submission or request for a hearing was made within

the response period for the proposed action notice;

(iv) the panel has considered the submission or held the

hearing (as the case may be).

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Instruments under subsection 921K(1) and warnings and

reprimands

(2) A Financial Services and Credit Panel must not give a person an

infringement notice for the alleged contravention by the person of a

restricted civil penalty provision if:

(a) the panel, or another Financial Services and Credit Panel,

has:

(i) made an instrument under subsection 921K(1) in

relation to the person; or

(ii) given the person a warning or reprimand;

because of circumstances mentioned in subsection 921K(1)

or 921T(1); and

(b) those circumstances consist of, or include, the contravention.

85 Before section 1317DAQ

Insert:

Division 2--Infringement notices given by ASIC

1317DAPB Application of Division

This Division applies in relation to an infringement notice given to

a person by ASIC.

86 After section 1317DAT

Insert:

Division 3--Infringement notices given by Financial

Services and Credit Panels

1317DATA Application of Division

This Division applies in relation to an infringement notice given to

a person by a Financial Services and Credit Panel.

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1317DATB Payment period, extension of time and payment by

instalments

(1) Sections 1317DAQ, 1317DAR and 1317DAS apply, in relation to

an infringement notice given to a person by a Financial Services

and Credit Panel, with the modifications provided for in

subsections (2) to (6) of this section.

(2) The following provisions apply, in accordance with subsection (1),

as if any reference in them to ASIC were a reference to the Chair

of the panel:

(a) subsections 1317DAQ(2) to (5);

(b) subsections 1317DAR(2) to (5);

(3) The following provisions apply, in accordance with subsection (1),

as if any reference in them to ASIC were a reference to the panel:

(a) subsection 1317DAR(1);

(b) subsection 1317DAS(1).

(4) Section 1317DAQ applies, in accordance with subsection (1) of

this section, as if subsection 1317DAQ(6) were omitted and the

following subsection substituted:

"(6) If the panel under subsection 1317DATC(3) refuses, or under

subsection 1317DATC(5) is taken to refuse, a representation made

for the notice to be withdrawn, the

payment period

ends on the

later of the following days:

(a) the last day of the period that, without the withdrawal, would

be the payment period for the notice;

(b) the day that is 7 days after the day the person was given

notice of the panel's decision not to withdraw the notice;

taken to have refused to withdraw the infringement notice.".

(5) Section 1317DAR applies, in accordance with subsection (1) of

this section, as if paragraph 1317DAR(2)(b) were omitted and the

following paragraph substituted:

"(b) if ASIC requests, in writing, that the Chair of the panel that

gave the infringement notice extend the period.".

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(6) Section 1317DAS applies, in accordance with subsection (1) of this

section, as if paragraph 1317DAS(2)(b) were omitted and the

following paragraph substituted:

"(b) if ASIC requests, in writing, that the Chair of the panel that

gave the infringement notice make such an arrangement.".

1317DATC Withdrawal of an infringement notice given by a

Financial Services and Credit Panel

Representations seeking withdrawal of notice

(1) A person to whom an infringement notice has been given by a

Financial Services and Credit Panel may, within 28 days after the

infringement notice is given, make written representations to ASIC

seeking the withdrawal of the notice.

Withdrawal of notice

(2) ASIC may request a Financial Services and Credit Panel (whether

or not the panel gave the infringement notice to the person) to

make a decision under subsection (3) in relation to the

infringement notice if:

(a) a person makes representations in relation to the notice under

subsection (1); or

(b) ASIC is satisfied that there has been a change in any of the

circumstances on the basis of which the notice was given to

the person.

(3) If ASIC makes a request under subsection (2), the panel must,

within 14 days after it is made:

(a) decide to withdraw, or refuse to withdraw, the infringement

notice; and

(b) give the person a written notice of its decision.

(4) When deciding whether to withdraw, or refuse to withdraw, the

infringement notice, the panel:

(a) must take into account any written representations seeking

the withdrawal that were given by the person to ASIC in

accordance with subsection (1); and

(b) may take into account the following:

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(i) whether a court has previously imposed a penalty on the

person for a contravention of a provision of this Act;

(ii) the circumstances of the alleged contravention of the

restricted civil penalty provision to which the notice

relates;

(iii) whether the person has paid an amount, stated in an

earlier infringement notice, for a contravention of a

provision of this Act;

(iv) any other matter the panel considers relevant.

(5) If the panel does not comply with subsection (3):

(a) the panel is taken to have refused to withdraw the

infringement notice; and

(b) the refusal is taken to have occurred on the last day of the 14

day period.

Refund of amount if infringement notice withdrawn

(6) If:

(a) the panel withdraws the infringement notice; and

(b) the person has already paid all or part of the amount stated in

the notice;

ASIC must refund to the person an amount equal to the amount

paid.

87 Before section 1317DAU

Insert:

Division 4--Other matters

88 Section 1317DAV

Repeal the section, substitute:

1317DAV Effect of this Part

This Part does not:

(a) require an infringement notice to be given to a person for an

alleged contravention of:

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(i) a provision subject to an infringement notice under this

Part; or

(ii) a restricted civil penalty provision; or

(b) affect the liability of a person for an alleged contravention of

a provision subject to an infringement notice under this Part,

or a restricted civil penalty provision, if:

(i) the person does not comply with an infringement notice

given to the person for the contravention; or

(ii) an infringement notice is not given to the person for the

contravention; or

(iii) an infringement notice is given to the person for the

contravention and is subsequently withdrawn; or

person for an alleged contravention of:

(i) a provision subject to an infringement notice under this

Part; or

(ii) a restricted civil penalty provision; or

(d) limit a court's discretion to determine the amount of a

penalty to be imposed on a person who is found to have

contravened:

(i) a provision subject to an infringement notice under this

Part; or

(ii) a restricted civil penalty provision.

89 In the appropriate position in subsection 1317E(3)

Insert:

subsection 921BA(5)

relevant providers to meet education

and training standards

uncategorised

subsection 921BB(4)

relevant providers who provide tax

(financial) advice services to meet

requirement for continuing

professional development

uncategorised

subsection 921E(3)

relevant providers to comply with the

Code of Ethics

uncategorised

subsection 921F(8)

requirements relating to provisional

relevant providers

uncategorised

subsection 921L(2)

relevant providers to comply with

uncategorised

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direction under paragraph 921L(1)(a)

section 921Y

unregistered relevant providers not to

provide personal advice

uncategorised

subsection 921Z(4)

financial services licensees not to

continue to authorise unregistered

relevant providers to provide

personal advice

uncategorised

90 After subsection 1317J(1)

Insert:

(1A) However, ASIC must not make an application under subsection (1)

in relation to an alleged contravention of a restricted civil penalty

provision unless:

(a) a Financial Services and Credit Panel has given ASIC a

notice under subsection 921Q(1) in relation to the alleged

contravention; or

(b) both of the following apply:

(i) a Financial Services and Credit Panel has given a person

an infringement notice for the alleged contravention;

(ii) the person has not paid the amount that is payable under

the infringement notice within the payment period for

the infringement notice.

91 Section 1546A (subparagraph (a)(i) of the definition of

existing provider

)

Omit "(except a person who has ceased to be a relevant provider under

subsection 1546B(4) or (5))".

92 Section 1546B

Repeal the section.

93 Subsections 1546C(2) to (4)

Repeal the subsections.

94 Subsection 1546E(5) (note 1)

Omit "1".

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95 Subsection 1546E(5) (note 2)

Repeal the note.

96 Section 1546Y

Repeal the section.

97 Division 4 of Part 10.23A

Repeal the Division.

98 In the appropriate position in Chapter 10

Insert:

Part 10.57--Transitional provisions relating to the

Financial Sector Reform (Hayne Royal

Commission Response--Better Advice) Act

2021

Division 1--Definitions

1684 Definitions

In this Part:

amending Act

means the

Financial Sector Reform (Hayne Royal

Commission Response--Better Advice) Act 2021

exam cut-off day

, for an existing provider, means:

(a) if, on 1 January 2022, regulations made for the purposes of

paragraph 1684B(a) prescribe a day in relation to the existing

provider--that day; or

(b) otherwise--1 January 2022.

existing provider

has the meaning given by section 1546A.

old Tax Agent Services Act

means the

Tax Agent Services Act

2009

as in force immediately before 1 January 2022.

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registered tax (financial) adviser

has the meaning given by the old

Tax Agent Services Act.

relevant provider

has the meaning given by section 910A.

standards body

has the meaning given by section 910A, as in force

immediately before 1 January 2022.

Division 2--Transitional provisions for existing providers

1684A Application--qualifications for existing providers

Existing providers who are relevant providers on 1 January 2026

(1) Subsection 921BA(1) and subsection 921BA(5) in so far as it

relates to subsection 921BA(1), as inserted by Schedule 1 to the

amending Act, apply on and after 1 January 2026 in relation to an

existing provider who is a relevant provider if the existing provider

is a relevant provider on 1 January 2026.

Existing providers who are not relevant providers on 1 January

2026

(2) If an existing provider who is a relevant provider is not a relevant

provider on 1 January 2026, subsection 921BA(1) and subsection

921BA(5) in so far as it relates to subsection 921BA(1), as inserted

by Schedule 1 to the amending Act, apply on and after 1 January

2026 in relation to the existing provider as if the reference in

subsection 921BA(1), as inserted by Schedule 1 to the amending

Act, to meeting the education and training standard in

subsection 921B(2), as amended by Schedule 1 to the amending

Act, were a reference to:

(a) meeting the education and training standard in

subsection 921B(2), as amended by Schedule 1 to the

amending Act; or

(b) completing one or more courses determined by the Minister

under subsection 1684E(1) to give the existing provider

qualifications equivalent to that standard.

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1684B Application--exam for existing providers

Subsection 921BA(2) and subsection 921BA(5) in so far as it

relates to subsection 921BA(2), as inserted by Schedule 1 to the

amending Act, apply, in relation to an existing provider who is a

relevant provider, on and after:

(a) if, on 1 January 2022, regulations made for the purposes of

this paragraph prescribe a day in relation to the existing

provider--that day; or

(b) otherwise--1 January 2022.

1684C Application--existing providers who meet certain education

and training standards exempt from work and training

requirement

(1) Subsection 921BA(3) and subsection 921BA(5) in so far as it

relates to subsection 921BA(3), as inserted by Schedule 1 to the

amending Act, do not apply in relation to an existing provider who

is a relevant provider.

(2) Subsection (1) has effect subject to subsections (3) and (4).

Consequences of failing to gain qualifications for existing

providers who are relevant providers on certain days

(3) The provisions mentioned in subsection (1) apply, in relation to an

existing provider who is a relevant provider, on and after 1 January

2026 if (and only if), at the start of that day:

(a) the existing provider is a relevant provider; and

(b) the existing provider has not:

(i) met the education and training standard in

subsection 921B(2), as amended by Schedule 1 to the

amending Act; or

(ii) completed one or more courses determined by the

Minister under subsection 1684E(1) to give the existing

provider qualifications equivalent to that standard.

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Consequences of failing to pass exam for existing providers who

are relevant providers on certain days

(4) The provisions mentioned in subsection (1) apply to an existing

provider who is a relevant provider on and after the exam cut-off

day for the existing provider, if (and only if), at the start of that

day:

(a) the existing provider is a relevant provider; and

(b) the existing provider has not met the education and training

standard in subsection 921B(3), as amended by Schedule 1 to

the amending Act.

1684D Application--limitation on authorisation of existing

providers to provide personal advice

(1) The following provisions (the

relevant provisions

), as inserted by

Schedule 1 to the amending Act, do not apply in relation to an

existing provider:

(a) paragraph 921C(1)(a);

(b) paragraphs 921C(2)(a) and (b);

(d) paragraphs 921C(4)(a) and (b).

(2) Subsection (1) has effect subject to subsections (3) and (5).

Consequences of failing to gain qualifications

(3) Subject to subsection (4), the relevant provisions begin to apply on

1 January 2026, in relation to an existing provider if, at the start of

that day, the existing provider has not:

(a) met the education and training standard in

subsection 921B(2), as amended by Schedule 1 to the

amending Act; or

(b) completed one or more courses determined by the Minister

under subsection 1684E(1) to give the existing provider

qualifications equivalent to that standard.

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Exemption in relation to existing providers who are not relevant

providers on 1 January 2026

(4) If, under subsection (3), the relevant provisions begin to apply to

an existing provider who is not a relevant provider on 1 January

2026, the relevant provisions apply in relation to the existing

provider as if:

(a) a reference in them to meeting the education and training

standard in subsection 921B(2), as amended by Schedule 1 to

the amending Act, were a reference to:

(i) meeting the education and training standard in that

subsection; or

(ii) completing one or more courses determined by the

Minister under subsection 1684E(1) to give the existing

provider qualifications equivalent to that standard; and

(b) they did not include a reference to the education and training

standard in subsection 921B(4), as amended by Schedule 1 to

the amending Act, or a reference to undertaking work and

training in accordance with that subsection.

Consequences of failing to pass exam

(5) Subject to subsection (6), the relevant provisions begin to apply, in

relation to an existing provider, on the exam cut-off day for the

existing provider if, at the start of that day, the existing provider

has not met the education and training standard in

subsection 921B(3), as amended by Schedule 1 to the amending

Act.

Exemption in relation to existing providers who are not relevant

providers on exam cut-off day

(6) If, under subsection (5), the relevant provisions begin to apply to

an existing provider who is not a relevant provider on the exam

cut-off day for the existing provider, the relevant provisions apply

in relation to the existing provider as if:

(a) a reference in them to meeting the education and training

standard in subsection 921B(2), as amended by Schedule 1 to

the amending Act, were a reference to:

(i) meeting the education and training standard in that

subsection; or

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(ii) completing one or more courses determined by the

Minister under subsection 1684E(1) to give the existing

provider qualifications equivalent to that standard; and

(b) they did not include a reference to the education and training

standard in subsection 921B(4), as amended by Schedule 1 to

the amending Act, or a reference to undertaking work and

training in accordance with that subsection.

Consequences of relevant provisions beginning to apply to existing

provider

(7) If, on a particular day, any of the relevant provisions begin to apply

to an existing provider who is a relevant provider, the existing

provider is taken for the purposes of this Act to have ceased to be a

relevant provider on that day.

(8) Subsection (7) does not prevent the existing provider again

becoming a relevant provider.

1684E Transitional--Minister may determine courses for certain

purposes

(1) The Minister may, by legislative instrument, determine courses for

the purposes of the following provisions:

(a) paragraph 1684A(2)(b);

(b) subparagraph 1684C(3)(b)(ii);

(d) subparagraphs 1684D(4)(a)(ii) and (6)(a)(ii).

Saving of determinations made by standards body

(2) A determination that:

(a) was made under subsection 1546B(7), as in force

immediately before 1 January 2022; and

(b) was in force immediately before that day;

continues in force (and may be dealt with) on and after that day as

if it had been made under subsection (1) of this section.

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Financial Sector Reform (Hayne Royal Commission Response--Better

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Division 3--Other transitional provisions

1684F Transitional--exams

If, immediately before 1 January 2022, a person met the education

and training standard in subsection 921B(3), as in force at that

time, the person is taken, at and after that time, to have met the

education and training standard in subsection 921B(3), as amended

by Schedule 1 to the amending Act.

1684G Application--continuing professional development

Subsection 921BA(4) and subsection 921BA(5) in so far as it

relates to subsection 921BA(4), as inserted by Schedule 1 to the

amending Act, apply in relation to a financial services licensee's

CPD year that begins on or after 1 January 2022.

1684H Application--action against relevant providers

Section 921K, as inserted by Schedule 1 to the amending Act,

applies in relation to an act or omission by a relevant provider that

occurs, or a circumstance that arises in relation to a relevant

provider, on or after 1 January 2022.

1684J Application--recommendations to ASIC in relation to

restricted civil penalty provisions

Section 921Q, as inserted by Schedule 1 to the amending Act,

applies in relation to an act or omission by a relevant provider that

occurs on or after 1 January 2022.

1684K Application--warnings and reprimands

Sections 921S and 921T, as inserted by Schedule 1 to the

amending Act, apply in relation to an act or omission by a relevant

provider that occurs, or a circumstance that arises in relation to a

relevant provider, on or after 1 January 2022.

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1684L Application--requirement for relevant providers to be

registered

Sections 921Y and 921Z, as inserted by Schedule 1 to the

amending Act, apply on and after 1 January 2023.

1684M Saving--determinations made for education and training

standards

An instrument that:

(a) was made under subparagraph 921U(2)(a)(i), (iii) or (iv), as

in force immediately before 1 January 2022; and

(b) was in force immediately before that day;

continues in force (and may be dealt with) on and after that day as

if it had been made under subsection 921B(6), as added by

Schedule 1 to the amending Act.

1684N Saving--word or expression to refer to a provisional relevant

provider

A determination that:

(a) was made under subparagraph 921U(2)(a)(v), as in force

immediately before 1 January 2022; and

(b) was in force immediately before that day;

continues in force (and may be dealt with) on and after that day as

if it had been made under subsection 923C(9A), as inserted by

Schedule 1 to the amending Act.

1684P Saving--Code of Ethics

The Code of Ethics that:

(a) was made under paragraph 921U(2)(b), as in force

immediately before 1 January 2022; and

(b) was in force immediately before that day;

continues in force (and may be dealt with) on and after that day as

if it had been made under section 921E, as amended by Schedule 1

to the amending Act.

Initial amendments

Schedule 1

Main amendments

Part 1

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Financial Sector Reform (Hayne Royal Commission Response--Better

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1684Q Transitional--approvals of foreign qualifications

An application for approval of a foreign qualification that:

(a) was made under subsection 921V(1), as in force immediately

before 1 January 2022; and

(b) had not been finally determined at the start of that day;

may be dealt with, on and after that day, as if it had been made

under subsection 921G(1), as added by Schedule 1 to the amending

Act.

1684R Saving--approvals of foreign qualifications that are in force

An approval of a foreign qualification that:

(a) was given under paragraph 921V(3)(a), as in force

immediately before 1 January 2022; and

(b) was in force immediately before that day;

continues in force (and may be dealt with) on and after that day as

if it had been given under paragraph 921G(2)(a), as added by

Schedule 1 to the amending Act.

1684S Transitional--approvals of foreign qualifications that are not

yet in force

If:

(a) for the purposes of approving a foreign qualification for a

person, one or more courses were specified for the person

under subsection 921V(5), as in force immediately before

1 January 2022; and

(b) immediately before that day, the person had not completed

all of those courses;

section 921G, as added by Schedule 1 to the amending Act, has

effect on and after that day, as if the courses were specified for the

person under subparagraph 921G(3)(b)(i).

1684T Transitional--orders under section 30-20 of the old Tax

Agent Services Act

(1) This section applies if a relevant provider does not comply with:

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(a) an order under section 30-20 of the old Tax Agent Services

Act that is in force against the relevant provider immediately

before 1 January 2022; or

(b) an order made on or after that day against the relevant

provider, in relation to an act or omission before that day,

under section 30-20 of the old Tax Agent Services Act.

Action by Financial Services and Credit Panels

(2) If no other Financial Services and Credit Panel has taken action

against the relevant provider under this subsection, a Financial

Services and Credit Panel may do one of the following:

(a) give the relevant provider a warning or reprimand;

(b) make an instrument of a kind specified in subsection

921L(1), as inserted by Schedule 1 to the amending Act, in

relation to the relevant provider.

Action by ASIC

(3) If no Financial Services and Credit Panel has taken action against

the relevant provider under subsection (2), ASIC may make an

order against the relevant provider.

(4) If:

(a) no Financial Services and Credit Panel has taken action

against the relevant provider under subsection (2); and

(b) ASIC has not made an order against the relevant provider

under subsection (3);

ASIC must give the relevant provider a warning or reprimand.

Application of Act to action taken by Financial Services and Credit

Panels under subsection (2)

(5) This Act applies in relation to a warning or reprimand given under

paragraph (2)(a) as if the warning or reprimand were given under

subsection 921T(1), as inserted by Schedule 1 to the amending Act.

(6) This Act applies in relation to an instrument made, or proposed to

be made, under paragraph (2)(b) as if the instrument were made, or

proposed to be made, under subsection 921K(1), as inserted by

Schedule 1 to the amending Act.

Initial amendments

Schedule 1

Main amendments

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Financial Sector Reform (Hayne Royal Commission Response--Better

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Application of Act to action taken by ASIC under subsection (3) or

(4)

(7) This Act applies in relation to an order made, or proposed to be

made, under subsection (3) as if the order were a banning order.

(8) This Act applies in relation to a warning or reprimand given under

subsection (4) as if the warning or reprimand were given under

subsection 921S(1), as inserted by Schedule 1 to the amending Act.

1684U Transitional--deemed registration of certain relevant

providers

(1) This section applies in relation to a person if:

(a) the person is a relevant provider; and

(b) immediately before 1 January 2022, the person was a

registered tax (financial) adviser; and

old registration

) as a registered

tax (financial) adviser continues, or is, in force on and after

that day because of item 139 or 140 of Schedule 1 to the

amending Act.

(2) On and after the application day for the person, this Act applies in

relation to the person as if:

(a) the person were registered under subsection 921ZC(1), as

inserted by Schedule 1 to the amending Act, because of an

application in accordance with:

(i) if the relevant provider is a financial services licensee--

section 921ZA, as inserted by Schedule 1 to the

amending Act; or

(ii) if the relevant provider is not a financial services

licensee--section 921ZB, as inserted by Schedule 1 to

the amending Act; and

(b) the person's registration under subsection 921ZC(1), as

inserted by Schedule 1 to the amending Act, came into force

on the application day for the person.

(3) For the purposes of this section, the

application day

for a person is:

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(a) if the person's old registration continues in force because of

item 139 of Schedule 1 to the amending Act--1 January

2022; or

(b) if the person's old registration is in force because of item 140

of Schedule 1 to the amending Act--the day the old

registration comes into force under that item.

1684V Transitional--transfer of documents

(1) After 1 January 2022, any document that:

(a) was in the possession of a director or employee of the

standards body immediately before that day; and

(b) relates to the functions of the standards body (other than the

exam function);

is to be transferred to the Secretary of the Department.

(2) After 1 January 2022, any document that:

(a) was in the possession of a director or employee of the

standards body immediately before that day; and

(b) relates to the exam function of the standards body;

is to be transferred to ASIC.

(3) In this section:

exam function

means the function mentioned in

paragraph 921U(1)(d), as in force immediately before 1 January

2022.

99 In the appropriate position in Schedule 3

Insert:

Subsection 921Z(3)

20 penalty units

Initial amendments

Schedule 1

Other amendments

Part 2

No. , 2021

Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

Part 2--Other amendments

Division 1

--Amendments

Freedom of Information Act 1982

100 Division 1 of Part II of Schedule 2 (after table item dealing

with the Australian Postal Corporation)

Insert:

Australian Securities and Investments Commission, in relation to

documents:

(a) concerning its functions under subsection 921B(3) of the

Corporations Act 2001

; or

(b) transferred to it in accordance with subsection 1684V(2) of that Act.

101 Division 1 of Part II of Schedule 2 (table item dealing with

the Department of the Treasury)

Repeal the item, substitute:

Department of the Treasury in relation to documents:

(a) in respect of activities of the Australian Loan Council; or

(b) in respect of the commercial activities of the Royal Australian Mint;

under section 921G of the

Corporations Act 2001

; or

(d) transferred to the Secretary of the Department in accordance with

subsection 1684V(1) of that Act.

National Consumer Credit Protection Act 2009

102 After subsection 80(1)

Insert:

(1A) Subsection (1) has effect subject to subsection (4).

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103 Subsection 80(4)

Omit "Despite subsection (1), ASIC may only make a banning order

against a person", substitute "Subject to subsection (5), if ASIC has not

delegated its power to make a banning order against a person to a

Financial Services and Credit Panel, ASIC may make the order only".

104 At the end of subsection 80(4)

Add:

Note:

If ASIC delegates its power to make a banning order against a person

to a Financial Services and Credit Panel, the panel may make the

order only after holding a hearing in relation to the proposed order

(see section 157 of the ASIC Act).

105 Subsections 80(5) and (6)

Repeal the subsections, substitute:

(5) ASIC may make a banning order against a person without giving

the person the opportunities mentioned in subsection (4) if:

(a) either:

(i) ASIC has not delegated its power to make the banning

order to a Financial Services and Credit Panel; or

(ii) ASIC exercises its power to make the banning order

despite such a delegation; and

(b) subsection (6) or (6A) applies.

Note:

See section 34AB of the

Acts Interpretation Act 1901

(effect of

delegation).

(6) This subsection applies if:

(a) ASIC's grounds for making a banning order against a person

include that ASIC has suspended or cancelled a licence of the

person (see paragraph (1)(a)); and

(b) the suspension or cancellation took place without a hearing

under section 54.

(6A) This subsection applies if:

(a) ASIC's grounds for making a banning order against a person

include that the person has been convicted of fraud (see

paragraph (1)(c)); and

(b) the person has been convicted of serious fraud.

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Schedule 1

Other amendments

Part 2

No. , 2021

Financial Sector Reform (Hayne Royal Commission Response--Better

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Tax Agent Services Act 2009

106 Paragraphs 2-5(a), (b) and (c)

Omit "tax agents, BAS agents and tax (financial) advisers", substitute

"tax agents and BAS agents".

107 Section 20-5 (heading)

Omit "

tax agent, BAS agent or tax (financial) adviser

", substitute

tax agent or BAS agent

108 Subparagraph 20-5(2)(c)(ii)

Omit "arrangements; or", substitute "arrangements; and".

109 Subparagraph 20-5(2)(c)(iii)

Repeal the subparagraph.

110 Subparagraph 20-5(3)(d)(ii)

Omit "arrangements; or", substitute "arrangements; and".

111 Subparagraph 20-5(3)(d)(iii)

Repeal the subparagraph.

112 Section 20-10

Omit "tax agents, BAS agents and tax (financial) advisers", substitute

"tax agents and BAS agents".

113 Subsection 20-30(2)

Repeal the subsection, substitute:

(2) The Board must also notify the Commissioner of the Board's

decision.

114 Subsection 40-20(3)

Repeal the subsection, substitute:

(3) The Board must also notify the Commissioner of the Board's

decision and the reasons for the decision.

Schedule 1

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Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

No. , 2021

115 Section 50-1

Omit:

You contravene a civil penalty provision if you are unregistered

and provide tax agent services for a fee, advertise that you can

provide tax agent services or represent yourself as registered.

You also contravene a civil penalty provision if you are registered

and you make a false or misleading statement, employ or use the

services of an entity whose registration has been terminated, or

sign a declaration or statement that was prepared by an

unregistered entity who was not working under the supervision or

control of a registered tax agent, BAS agent or tax (financial)

adviser.

substitute:

You may contravene a civil penalty provision if you are

unregistered and provide tax agent services for a fee, advertise that

you can provide such services or represent yourself as registered.

You contravene a civil penalty provision if you are neither

registered nor a qualified tax relevant provider and you provide tax

(financial) advice services for a fee or advertise that you can

provide such services.

You also contravene a civil penalty provision if you are registered

and you make a false or misleading statement, employ or use the

services of an entity whose registration has been terminated, or

sign a declaration or statement that was prepared by an

unregistered entity who was not working under the supervision or

control of a registered tax agent or BAS agent.

116 Subsections 50-5(2A) and 50-10(2A)

Repeal the subsections.

117 Section 50-15 (heading)

Omit "

tax agent, BAS agent or tax (financial) adviser

", substitute

tax agent or BAS agent

Initial amendments

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Financial Sector Reform (Hayne Royal Commission Response--Better

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118 After Subdivision 50-A

Insert:

Subdivision 50-AA--Conduct that relates to tax (financial)

advice services

Table of sections

50-17

Providing tax (financial) advice services if not registered or qualified

50-18

Advertising tax (financial) advice services if not registered or qualified

50-17 Providing tax (financial) advice services if not registered or

qualified

You contravene this section if:

(a) either:

(i) you provide a service that you know, or ought

reasonably to know, is a

tax (financial) advice service;

(ii) a service that you know, or ought reasonably to know, is

a tax (financial) advice service is provided on your

behalf by another person; and

(b) the tax (financial) advice service is not a

BAS service; and

(i) you charge or receive a fee or other reward for

providing the tax (financial) advice service; or

(ii) the other person charges or receives a fee or other

reward for providing the tax (financial) advice service

on your behalf; and

(d) you are not a

registered tax agent or a

qualified tax relevant

provider; and

(e) in the case of the tax (financial) advice service provided on

your behalf by another person--that other person is not a

registered tax agent or a qualified tax relevant provider; and

(f) in the case of you providing the tax (financial) advice service

as a legal service--you are prohibited, under a

State law or

Territory law that regulates legal practice and the provision

of legal services, from providing that tax (financial) advice

service.

Schedule 1

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Financial Sector Reform (Hayne Royal Commission Response--Better

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No. , 2021

Civil penalty:

(a) for an individual--250 penalty units; and

(b) for a body corporate--1,250 penalty units.

Note:

Subdivision 50-C of this Act and Subdivision 298-B of Schedule 1 to

the

Taxation Administration Act 1953

determine the procedure for

obtaining a civil penalty order against you.

50-18 Advertising tax (financial) advice services if not registered or

qualified

You contravene this section if:

(a) you advertise that:

(i) you will provide a

tax (financial) advice service; or

(ii) another person will provide a tax (financial) advice

service on your behalf; and

(b) the tax (financial) advice service is not a

BAS service; and

registered tax agent or a

qualified tax relevant

provider; and

(d) if the tax (financial) advice service would be provided on

your behalf by another person--that other person is not a

registered tax agent or a qualified tax relevant provider; and

(e) if the tax (financial) advice service would be provided as a

legal service--you are prohibited, under a

State law or

Territory law that regulates legal practice and the provision

of legal services, from providing that tax (financial) advice

service.

Civil penalty:

(a) for an individual--50 penalty units; and

(b) for a body corporate--250 penalty units.

Note:

Subdivision 50-C of this Act and Subdivision 298-B in Schedule 1 to

the

Taxation Administration Act 1953

determine the procedure for

obtaining a civil penalty order against you.

119 Subsection 50-25(1A)

Repeal the subsection.

120 Subsection 50-25(2)

Omit "Subsections (1) and (1A) do", substitute "Subsection (1) does".

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Financial Sector Reform (Hayne Royal Commission Response--Better

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121 Section 60-1

Omit:

The Board must also report to the Minister on its operations each

year, maintain a register of registered tax agents, BAS agents and

tax (financial) advisers, and publish decisions to terminate or

suspend the registration of a registered tax agent, BAS agent or tax

(financial) adviser.

substitute:

The Board must also report to the Minister on its operations each

year, maintain a register of registered tax agents and BAS agents,

and publish decisions to terminate or suspend the registration of a

registered tax agent or BAS agent.

122 Paragraph 60-15(a)

Omit "tax agents, BAS agents and tax (financial) advisers", substitute

"tax agents and BAS agents".

123 Subparagraph 60-125(8)(c)(iv)

Repeal the subparagraph, substitute:

(iv) if the decision or finding concerns a

registered tax

agent in relation to providing a

tax (financial) advice

service--

ASIC; and

124 Subparagraph 60-125(8)(c)(v)

Repeal the subparagraph.

125 Subparagraph 60-125(8)(d)(iii)

Omit "

ASIC; and", substitute "

ASIC.".

126 Subparagraph 60-125(8)(d)(iv)

Repeal the subparagraph.

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No. , 2021

127 Paragraph 60-135(1)(a)

Omit "tax agents, BAS agents and tax (financial) advisers", substitute

"tax agents and BAS agents".

128 Section 70-34

Repeal the section.

129 Subsection 70-40(3AA)

Repeal the subsection, substitute:

Disclosures to Financial Services and Credit Panels

(3AA) Subsection 70-35(1) does not apply if the record or disclosure is to

Financial Services and Credit Panel for the purpose of the panel

performing any of its functions or exercising any of its powers.

Note:

A defendant bears an evidential burden in relation to the matters in

subsection (3AA): see subsection 13.3(3) of the

Criminal Code

130 Subsection 90-1(1)

Repeal the following definitions:

(a) definition of

Code of Ethics

;

(b) definition of

compliance scheme

;

covers

131 Subsection 90-1(1)

Insert:

Financial Services and Credit Panel

has the same meaning as in

the

Australian Securities and Investments Commission Act 2001

132 Subsection 90-1(1) (definition of

monitoring body

)

Repeal the definition.

133 Subsection 90-1(1)

Insert:

qualified tax relevant provider

has the same meaning as in Part 7.6

of the

Corporations Act 2001

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134 Subsection 90-1(1)

Repeal the following definitions:

(a) definition of

registered tax agent, BAS agent or tax

(financial) adviser

;

(b) definition of

registered tax agents, BAS agents and tax

(financial) advisers

;

registered tax (financial) adviser

135 Subsection 90-1(1)

Insert:

relevant provider

has the same meaning as in Part 7.6 of the

Corporations Act 2001

136 Amendments of listed provisions

--tax agent or BAS

agent

Omit "tax agent, BAS agent or tax (financial) adviser" (wherever

occurring) and substitute "tax agent or BAS agent" in the following

provisions:

(a) section 20-1;

(b) subsections 20-5(1), (2) and (3);

(d) paragraph 20-25(7)(a);

(e) subsection 20-40(1);

(f) section 20-45;

(g) section 30-1;

(h) section 30-5;

(i) subsection 30-10(5);

(j) paragraph 30-20(1)(b);

(k) subsection 30-25(4);

(l) subsections 30-35(1), (2) and (3);

(m) subsection 40-5(1);

(n) subsection 40-10(1);

(o) subsection 40-15(1);

(p) paragraph 50-15(a);

(q) subparagraph 50-25(1)(c)(i);

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No. , 2021

(r) paragraph 60-135(1)(b);

(s) subsection 60-135(3);

(t) section 60-140.

Division 2

--Application of amendments to the Tax Agent

Services Act 2009

137 Definitions

In this Division:

engage in conduct

means:

(a) do an act; or

(b) omit to perform an act.

old Act

means the

Tax Agent Services Act 2009

as in force immediately

before 1 January 2022.

relevant provider

has the same meaning as in Part 7.6 of the

Corporations Act 2001

138 Application

--providing or advertising tax (financial)

advice services

Sections 50-17 and 50-18 of the

Tax Agent Services Act 2009

, as

inserted by Division 1 of this Part, apply in relation to conduct engaged

in on or after 1 January 2022.

139 Transitional

--registration of registered tax (financial)

advisers who are relevant providers

(1)

This item applies if:

(a) a person is a relevant provider; and

(b) immediately before 1 January 2022:

(i) the person was a registered tax (financial) adviser under

the old Act; and

(ii) the person's registration (the

old registration

) as a

registered tax (financial) adviser was due to expire at

the end of a period (the

old

registration period

) that

ends on or after that day; and

(2)

Despite the amendments of the old Act made by Division 1 of this Part:

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(a) the old Act continues to apply in relation to the old

registration on and after 1 January 2022 as if those

amendments had not been made; and

(b) the old registration continues in force on and after 1 January

2022 until the end of the old registration period, unless

terminated before the end of that period.

140 Transitional

--pending applications for registration of

registered tax (financial) advisers who are relevant

providers

(1)

This item applies if:

(a) a person is a relevant provider; and

(b) before 1 January 2022, the person made an application:

(i) under section 20-20 of the old Act for registration as a

registered tax (financial) adviser; or

(ii) under section 20-50 of the old Act for renewal of the

person's registration as a registered tax (financial)

adviser; and

been finally determined.

(2)

Despite the amendments of the old Act made by Division 1 of this Part:

(a) the old Act continues to apply, on and after 1 January 2022,

in relation to the application, as if those amendments had not

been made; and

(b) if the application is granted:

(i) the old Act continues to apply to the registration, or the

renewed registration, on and after the day the

application is granted as if those amendments had not

been made; and

(ii) the registration, or the renewed registration, is in force

on and after 1 January 2022 for the period determined

under subsection 20-25(4) of the old Act in relation to

the application, unless terminated before the end of that

period.

Schedule 1

Initial amendments

Part 2

Other amendments

Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

No. , 2021

141 Transitional

--providing or advertising tax (financial)

advice services

(1)

This item applies if:

(a) a person's registration as a registered tax (financial) adviser

continues or is in force because of item 139 or 140 of this

Schedule; and

(b) that registration is suspended for a period (the

suspension

period

) under subsection 30-25(1) of the old Act as it

continues to apply to the registration under those items.

(2)

During the suspension period, the person is taken not to be a qualified

tax relevant provider for the purposes of paragraphs 50-17(d) and

50-18(c) of the

Tax Agent Services Act 2009

, as inserted by Division 1

of this Part.

Initial amendments

Schedule 1

Contingent amendments

Part 3

No. , 2021

Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

Part 3--Contingent amendments

Corporations Act 2001

142 Subsection 921L(1) (paragraph (b) of the note)

Omit "ASIC", substitute "the Registrar".

143 After subparagraph 921M(1)(b)(i)

Insert:

(ia) the Registrar; and

144 Subsection 921M(1) (note)

Repeal the note.

145 After subparagraph 921N(6)(a)(ii)

Insert:

(iia) the Registrar;

146 Paragraph 921P(2)(d)

Omit "ASIC may be required to enter details of the instrument in the

paragraph 922Q(2)(uc)", substitute "the Registrar may be required to

enter details of the instrument in the records maintained under

section 922A".

147 Subsection 921ZA(1)

Omit "ASIC", substitute "the Registrar".

148 Subsection 921ZA(1) (note)

Omit "ASIC", substitute "the Registrar".

149 Paragraph 921ZA(2)(a)

Repeal the paragraph, substitute:

(a) meet any requirements of the data standards; and

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Initial amendments

Part 3

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Financial Sector Reform (Hayne Royal Commission Response--Better

Advice) Bill 2021

No. , 2021

150 Subsection 921ZB(1)

Omit "ASIC", substitute "the Registrar".

151 Subsection 921ZB(1) (note 1)

Omit "ASIC", substitute "the Registrar".

152 Paragraph 921ZB(2)(a)

Repeal the paragraph, substitute:

(a) meet any requirements of the data standards; and

153 Subsection 921ZC(1)

Omit "ASIC must register the relevant provider by recording in the

under this subsection", substitute "the Registrar must register the

relevant provider by recording in the records maintained under

section 922A that the relevant provider is registered under this

subsection".

154 Subsection 921ZC(2)

Omit "ASIC", substitute "The Registrar".

155 Subsection 921ZC(3)

Omit "ASIC", substitute "the Registrar".

156 Subsections 921ZC(4) and (5)

Repeal the subsections, substitute:

Notice of registration

(4) If:

(a) the application is made in accordance with section 921ZA;

and

(b) the Registrar registers the relevant provider under

subsection (1);

the Registrar must, as soon as practicable after recording in the

records maintained under section 922A that the relevant provider is

registered under subsection (1) of this section, give a written notice

of the registration to the relevant provider.

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(5) If:

(a) the application is made in accordance with section 921ZB;

and

(b) the Registrar registers the relevant provider under

subsection (1) of this section;

the Registrar must, as soon as practicable after recording in the

records maintained under section 922A that the relevant provider is

registered under subsection (1) of this section, give a written notice

of the registration to:

(d) the applicant.

157 Subsection 921ZC(6)

Omit "ASIC" (wherever occurring), substitute "the Registrar".

158 Section 921ZD

Omit "ASIC registers", substitute "the Registrar registers".

159 Paragraph 921ZD(a)

Omit "ASIC records in the Register of Relevant Providers", substitute

"the Registrar records in the records maintained under section 922A".

160 Section 921ZE

Omit "ASIC registers", substitute "the Registrar registers".

161 Paragraph 921ZE(a)

Omit "ASIC records in the Register of Relevant Providers", substitute

"the Registrar records in the records maintained under section 922A".

Schedule 2

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Advice) Bill 2021

No. , 2021

Schedule 2--Later amendments

Corporations Act 2001

1 Division 8C of Part 7.6

Repeal the Division, substitute:

Division 8C--Registration for the purpose of providing

personal advice

921Y Unregistered relevant providers not to provide personal advice

A relevant provider must not provide personal advice to retail

clients in relation to relevant financial products unless a

registration of the relevant provider under subsection 921ZC(1) is

in force.

Note 1:

This section is a restricted civil penalty provision (see sections 921Q

and 1317E).

Note 2:

See also Division 2 (requirement to be licensed or authorised) and

Subdivision AA of Division 8A (limitations on authorisation to

provide personal advice).

921ZA Application for registration

(1) A person may apply to the Registrar to be registered under

subsection 921ZC(1).

(2) The application must:

(a) meet any requirements of the data standards; and

(b) include the following declarations by the person:

(i) that the person is a fit and proper person to provide

personal advice to retail clients in relation to relevant

financial products;

(ii) if subsection 921BA(1) applies to the person--that the

person has met the education and training standard in

subsection 921B(2);

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(iii) if subsection 921BA(2) applies to the person--that the

person has met the education and training standard in

subsection 921B(3);

(iv) if subsection 921BA(3) applies to the person--that the

person has met the education and training standard in

subsection 921B(4);

(v) if the person provides, or is to provide, a tax (financial)

advice service and a determination is in force under

subsection 921BB(1)--that the person meets each

requirement set out in the determination that is of a kind

mentioned in any of paragraphs (a) to (d) of that

subsection.

Note:

A person may commit an offence or contravene a civil penalty

provision if the person gives false or misleading information (see

section 1308 of this Act and section 137.1 of the

Criminal Code

(3) Subject to Part VIIC of the

Crimes Act 1914

, the person must have

regard to the matters specified in section 921U (other than the

matters specified in paragraphs (h) and (l) of that section) for the

purposes of making a declaration mentioned in

subparagraph (2)(b)(i) of this section.

Note:

Part VIIC of the

Crimes Act 1914

includes provisions that, in certain

circumstances, relieve persons from the requirement to disclose spent

convictions and require persons aware of such convictions to

disregard them.

921ZC Registration

(1) Subject to subsections (2) and (3), if:

(a) a person makes an application in accordance with section

921ZA or 921ZD; and

(b) the Registrar is satisfied that the person's identity has been

established;

the Registrar must register the person by recording in the records

maintained under section 922A that the person is registered under

this subsection.

Refusal to register person

(2) The Registrar must refuse to register the person if:

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(a) a banning order is in force against the person that has the

effect that the person is prohibited from providing personal

advice to retail clients in relation to relevant financial

products; or

(b) a disqualification order under Division 8 is in force against

the person that has the effect of disqualifying the person from

providing personal advice to retail clients in relation to

relevant financial products.

(3) If a registration prohibition order is in force against the person, the

Registrar must refuse to register the person until after the

prohibition end day specified in the order.

Notice of new registration

(4) If the person made an application in accordance with section

921ZA and the Registrar registers the person under subsection (1),

the Registrar must give the person a written notice of the

registration as soon as practicable after doing so.

Notice of refusal to register person

(5) If the Registrar refuses to register the person, the Registrar must,

within 5 business days after the refusal, give the person a written

notice of the refusal.

(6) The notice must specify which of the following provisions apply in

relation to the person:

(a) paragraph (2)(a) or (b);

(b) subsection (3).

921ZD Application for registration renewal

(1) If a person is registered under subsection 921ZC(1), and the

registration is in force, the person may apply to the Registrar to

renew (or further renew) that registration.

(2) Subsections 921ZA(2) and (3) apply in relation to an application

under subsection (1) of this section in the same manner as they

apply in relation to an application under subsection 921ZA(1).

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Advice) Bill 2021

101

921ZE Period of registration

(1) If a person makes an application in accordance with section

921ZA, and the Registrar registers the person under subsection

921ZC(1), the registration:

(a) comes into force when the Registrar records in the records

maintained under section 922A that the person is registered

under subsection 921ZC(1); and

(b) remains in force until the earliest of the following:

(i) the cancellation time specified in a registration

prohibition order in force against the person;

(ii) the time when a banning order against the person takes

effect;

(iii) the end of the financial year in which the person was

registered.

(2) If a person makes an application under subsection 921ZD(1), and

the Registrar registers the person under subsection 921ZC(1), the

registration:

(a) comes into force immediately after the end of the financial

year in which the application is made; and

(b) remains in force until the earliest of the following:

(i) the cancellation time specified in a registration

prohibition order in force against the person;

(ii) the time when a banning order against the person takes

effect;

(iii) the end of the next financial year.

2 Subdivision B of Division 9 of Part 7.6 (at the end of the

heading)

Add "

etc.

3 Subsection 922H(1)

Omit "A notice", substitute "Subject to subsection (3), a notice".

4 At the end of section 922H

Add:

(3) If:

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(a) a relevant provider is authorised to provide personal advice

to retail clients, on behalf of a financial services licensee, in

relation to relevant financial products; and

(b) the relevant provider is required, under section 922PA, to

notify the Registrar of a change in a matter;

the financial services licensee is not required to cause a notice

under this section to be lodged in relation to that change.

5 At the end of Subdivision B of Division 9 of Part 7.6

Add:

922PA Obligation for persons registered under subsection 921ZC(1)

to notify Registrar of certain changes

(1) A person must lodge a notice with the Registrar if:

(a) a registration of the person under subsection 921ZC(1) is in

force; and

(b) there is a change in a matter, particulars of which are entered

for the person under section 922Q, in the records maintained

under section 922A (other than a change that is a direct

consequence of an act by ASIC); and

purposes of this paragraph.

(2) The notice must:

(a) be lodged within 30 business days after the change; and

(b) meet any requirements of the data standards.

(3) A person commits an offence if:

(a) the person is required to lodge a notice in accordance with

this section; and

(b) the person fails to do so.

6 Subdivision C of Division 9 of Part 7.6 (at the end of the

heading)

Add "

etc.

7 Section 922Q (at the end of the heading)

Add "

etc.

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8 Section 922Q

Omit "each person who is or was a relevant provider", substitute:

each person:

(a) who is or was a relevant provider; or

(b) for whom a registration under subsection 921ZC(1) is in

force.

9 Subsection 1317E(3) (table item dealing with subsection

921Z(4))

Repeal the item.

10 At the end of Part 10.57

Add:

Division 4--Transitional provisions for Schedule 2 to the

amending Act

1684W Application--amendments made by Schedule 2 to the

amending Act

(1) If a registration of a person under old subsection 921ZC(1) is in

force immediately before the Schedule 2 commencement time, the

person is taken to be registered under new subsection 921ZC(1)

during the period:

(a) starting at the Schedule 2 commencement time; and

(b) ending at the earliest of the following:

(i) the cancellation time specified in a registration

prohibition order in force against the person;

(ii) the time when a banning order against the person takes

effect;

(iii) the end of the next 30 June after the Schedule 2

commencement time.

(2) In this section:

new subsection 921ZC(1)

means subsection 921ZC(1), as

substituted by Schedule 2 to the amending Act.

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old subsection 921ZC(1)

means subsection 921ZC(1), as in force

immediately before the Schedule 2 commencement time.

Schedule 2 commencement time

means the start of the day

Schedule 2 to the amending Act commences.

11 Schedule 3 (table item dealing with subsection 921Z(3))

Repeal the item.

12 In the appropriate position in Schedule 3

Insert:

Subsection 922PA(3)

20 penalty units

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