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This is a Bill, not an Act. For current law, see the Acts databases.
2022-2023
The Parliament of the
Commonwealth of Australia
HOUSE OF REPRESENTATIVES
Presented and read a first time
Treasury Laws Amendment (Financial
Services Compensation Scheme of Last
Resort) Bill 2023
No. , 2023
(Treasury)
A Bill for an Act to establish the financial services
compensation scheme of last resort, and for related
purposes
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
i
Contents
1
Short title ........................................................................................... 1
2
Commencement ................................................................................. 1
3
Schedules ........................................................................................... 2
Schedule 1--Financial services compensation scheme of last
resort
3
Part 1--Main amendments
3
Corporations Act 2001
3
Part 2--Other amendments
28
Australian Securities and Investments Commission Act 2001
28
Corporations Act 2001
28
National Consumer Credit Protection Act 2009
32
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
1
A Bill for an Act to establish the financial services
1
compensation scheme of last resort, and for related
2
purposes
3
The Parliament of Australia enacts:
4
1 Short title
5
This Act is the
Treasury Laws Amendment (Financial Services
6
Compensation Scheme of Last Resort)
Act 2023
.
7
2 Commencement
8
(1) Each provision of this Act specified in column 1 of the table
9
commences, or is taken to have commenced, in accordance with
10
column 2 of the table. Any other statement in column 2 has effect
11
according to its terms.
12
2
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
1
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
At the same time as the
Financial Services
Compensation Scheme of Last Resort Levy
Act 2023
commences.
However, the provisions do not commence
at all if that Act does not commence.
Note:
This table relates only to the provisions of this Act as originally
2
enacted. It will not be amended to deal with any later amendments of
3
this Act.
4
(2) Any information in column 3 of the table is not part of this Act.
5
Information may be inserted in this column, or information in it
6
may be edited, in any published version of this Act.
7
3 Schedules
8
Legislation that is specified in a Schedule to this Act is amended or
9
repealed as set out in the applicable items in the Schedule
10
concerned, and any other item in a Schedule to this Act has effect
11
according to its terms.
12
Financial services compensation scheme of last resort
Schedule 1
Main amendments
Part 1
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
3
Schedule 1--Financial services compensation
1
scheme of last resort
2
Part 1--Main amendments
3
Corporations Act 2001
4
1 Section 9
5
Insert:
6
accumulation recovery day
means 8 September 2022.
7
AFCA's accumulated unpaid fees
has the meaning given by
8
subsection 1058B(4).
9
AFCA's unpaid fees
, for a month, has the meaning given by
10
subsection 1058B(2).
11
capital reserve establishment contribution
has the same meaning
12
as in the
Financial Services Compensation Scheme of Last Resort
13
Levy (Collection) Act 2023
.
14
CSLR operator
(short for financial services compensation scheme
15
of last resort operator) means the person for whom an authorisation
16
under section 1060 is in force.
17
CSLR staff member
means:
18
(a) a director, officer or employee of the CSLR operator; or
19
(b) a person engaged as a consultant to, or to perform services
20
for, the CSLR operator for the purposes of the financial
21
services compensation scheme of last resort.
22
financial services compensation scheme of last resort
means the
23
financial services compensation scheme of last resort established
24
under Part 7.10B.
25
financial services compensation scheme of last resort operator
:
26
see
CSLR operator
.
27
first levy period
has the same meaning as in the
Financial Services
28
Compensation Scheme of Last Resort Levy Act 2023
.
29
Schedule 1
Financial services compensation scheme of last resort
Part 1
Main amendments
4
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
levy period
has the same meaning as in the
Financial Services
1
Compensation Scheme of Last Resort Levy Act 2023
.
2
pre-CSLR complaint
has the same meaning as in the
Financial
3
Services Compensation Scheme of Last Resort Levy (Collection)
4
Act 2023
.
5
relevant AFCA determination
has the meaning given by
6
section 1065.
7
revised claims, fees and costs estimate
has the same meaning as in
8
the
Financial Services Compensation Scheme of Last Resort Levy
9
Act 2023
.
10
sub-sector
has the same meaning as in the
Financial Services
11
Compensation Scheme of Last Resort Levy Act 2023
.
12
sub-sector levy cap
has the same meaning as in the
Financial
13
Services Compensation Scheme of Last Resort Levy Act 2023
.
14
2 At the end of Part 7.10A
15
Add:
16
Division 4--Information sharing and reporting
17
1058A Authorised use or disclosure of information
18
(1) An AFCA staff member may use or disclose information or
19
documents obtained by an AFCA staff member under or for the
20
purposes of this Part if:
21
(a) the use or disclosure is for the purposes of:
22
(i) this Part; or
23
(ii) Part 7.10B; or
24
(iii) the
Financial Services Compensation Scheme of Last
25
Resort Levy Act 2023
; or
26
(iv) the
Financial Services Compensation Scheme of Last
27
Resort Levy (Collection) Act 2023
; or
28
(b) the use or disclosure is to the CSLR operator for the purposes
29
of assisting the CSLR operator to perform its functions or
30
exercise its powers.
31
Financial services compensation scheme of last resort
Schedule 1
Main amendments
Part 1
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
5
(2) In this section:
1
use or disclosure
, for information or documents, includes making a
2
record of the information, disclosing the information, producing
3
the document or permitting access to the document.
4
1058B AFCA reporting to CSLR operator
5
Notification of unpaid fees to CSLR operator
6
(1) AFCA must notify the CSLR operator, in writing, of AFCA's
7
unpaid fees, for a month ending on or after the accumulation
8
recovery day, as soon as practicable after the end of the month.
9
Note:
The notification could include information about AFCA's unpaid fees,
10
including whether those fees relate to pre-CSLR complaints.
11
(2)
AFCA's unpaid fees
, for a month, is the sum of each fee (however
12
described) that:
13
(a) relates to one or more complaints, each of which:
14
(i) at the time the complaint is made, is a complaint against
15
a person (the
AFCA member
) who (at that time) is a
16
member of the AFCA scheme; and
17
(ii) is a complaint about a product, or service, of a kind
18
mentioned in subsection 1065(2); and
19
(iii) is a complaint that has been finalised by AFCA
20
(including by making a determination); and
21
(b) AFCA has charged to the AFCA member (or would have so
22
charged were the AFCA member still in existence); and
23
(c) the AFCA member has not paid to AFCA; and
24
(d) AFCA finished taking steps to recover on or after the
25
accumulation recovery day and during the month, which may
26
have included taking one or more of the following steps if
27
AFCA considered them appropriate (or possible):
28
(i) seeking an explanation from the AFCA member for the
29
AFCA member not paying the fee;
30
(ii) explaining to the AFCA member the consequences of
31
not paying the fee;
32
(iii) discussing with the AFCA member a reasonable
33
payment plan or other alternatives to paying the fee;
34
Schedule 1
Financial services compensation scheme of last resort
Part 1
Main amendments
6
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
(iv) if the AFCA member is (or has become) a Chapter 5
1
body corporate--engaging with an officer of the
2
Chapter 5 body corporate to assess whether the body
3
can pay the fee to AFCA.
4
Note:
In addition to the steps in subparagraphs (d)(i) to (iv), AFCA may take
5
any other steps it considers appropriate and cost effective.
6
AFCA's accumulated unpaid fees
7
(3) AFCA must notify the CSLR operator, in writing, of AFCA's
8
accumulated unpaid fees as soon as practicable after the
9
accumulation recovery day.
10
(4)
AFCA's accumulated unpaid fees
is the sum of each fee (however
11
described) that:
12
(a) relates to one or more complaints, each of which:
13
(i) at the time the complaint is made, is a complaint against
14
a person (the
AFCA member
) who (at that time) is a
15
member of the AFCA scheme; and
16
(ii) is a complaint about a product, or service, of a kind
17
mentioned in subsection 1065(2); and
18
(iii) is a complaint that has been finalised by AFCA
19
(including by making a determination); and
20
(b) AFCA has charged to the AFCA member (or would have so
21
charged were the AFCA member still in existence); and
22
(c) the AFCA member has not paid to AFCA; and
23
(d) AFCA finished taking steps to recover during the period:
24
(i) starting on 1 November 2018; and
25
(ii) ending on the day before the accumulation
recovery
26
day;
27
which may have included taking one or more of the steps
28
mentioned in subparagraphs (2)(d)(i) to (iv) of this section if
29
AFCA considered them appropriate (or possible).
30
3 After Part 7.10A
31
Insert:
32
Financial services compensation scheme of last resort
Schedule 1
Main amendments
Part 1
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
7
Part 7.10B--Financial services compensation
1
scheme of last resort
2
Division 1--Establishment of the scheme
3
1059 Establishment of the scheme
4
The financial services compensation scheme of last resort is
5
established by this Part.
6
1060 Minister may authorise an operator of the scheme
7
(1) The Minister may, by notifiable instrument, authorise a person to
8
operate the financial services compensation scheme of last resort if
9
the Minister is satisfied the person will meet the mandatory
10
requirements under section 1062.
11
Note:
The person who is authorised by the Minister to operate the scheme is
12
the CSLR operator (short for financial services compensation scheme
13
of last resort operator).
14
(2) An authorisation of a person to operate the financial services
15
compensation scheme of last resort must not come into force while
16
an authorisation of another person to operate that scheme is in
17
force.
18
(3) The Minister may, by notifiable instrument, vary or revoke an
19
authorisation.
20
(4) In an instrument made under subsection (1) or (3), the Minister:
21
(a) must specify the day the authorisation, variation or
22
revocation comes into force; and
23
(b) may impose, vary or revoke conditions relating to the
24
authorisation.
25
1061 Minister may appoint independent member
26
The Minister may, by written instrument, appoint an independent
27
person to be a member of the board of the CSLR operator.
28
Note:
The independent person appointed by the Minister is the Chair of the
29
board (see the mandatory requirement in paragraph 1062(3)(d)).
30
Schedule 1
Financial services compensation scheme of last resort
Part 1
Main amendments
8
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
1062 Mandatory requirements
1
(1) The mandatory requirements for a person (the
operator
) to operate
2
the financial services compensation scheme of last resort are:
3
(a) the organisational requirement under subsection (2); and
4
(b) the operator requirements under subsection (3); and
5
(c) the operational requirements under subsection (4); and
6
(d) the compliance requirements under subsection (5).
7
Organisational requirement
8
(2) The organisational requirement is that the operator does not require
9
a person applying for compensation to pay any fee or charge to the
10
operator, or to any other entity, in relation to the application.
11
Operator requirements
12
(3) The operator requirements are that:
13
(a) the operator is a company limited by guarantee; and
14
(b) the operator's constitution provides that the operator must not
15
be operated for profit; and
16
(c) the operator's constitution provides that amounts paid to the
17
operator by the Commonwealth must be maintained for the
18
purposes of the financial services compensation scheme of
19
last resort; and
20
(d) the operator's constitution provides that the Chair of the
21
board of the operator must be an independent person
22
appointed by the Minister as a member of the board; and
23
(e) the operator's constitution provides that, within 6 months
24
after the operator is authorised under section 1060, the
25
following must be appointed as members of the board:
26
(i) a person who is a director of AFCA, or who is the Chair
27
of the board of AFCA;
28
(ii) a person who is a Fellow of the Institute of Actuaries of
29
Australia and has at least 5 years' experience in
30
actuarial analysis.
31
Operational requirements
32
(4) The operational requirements are that:
33
Financial services compensation scheme of last resort
Schedule 1
Main amendments
Part 1
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
9
(a) the operator operates in accordance with the operator's
1
constitution; and
2
(b) the operator administers the financial services compensation
3
scheme of last resort in accordance with this Part and
4
regulations made for the purposes of this Part; and
5
(c) the operator manages money of the operator in a manner that
6
is efficient, effective and economical; and
7
(d) the operator has appropriate expertise available to deal with
8
applications for compensation; and
9
(e) the operator has appropriate expertise available to undertake
10
actuarial analysis and modelling to estimate the value of
11
claims to be made against the financial services
12
compensation scheme of last resort.
13
Compliance requirements
14
(5) The compliance requirements are that:
15
(a) the operator is to ensure that any conditions of the
16
authorisation of the operator (see paragraph 1060(4)(b)) are
17
complied with; and
18
(b) the operator is to ensure that regulatory requirements issued
19
under section 1069K are complied with.
20
Division 2--Compensation payments under the scheme
21
1063 Compensation payments
22
(1) The CSLR operator must pay to a person an amount of
23
compensation for a relevant AFCA determination made in respect
24
of the person if:
25
(a) the person is eligible under section 1064 for compensation
26
for the determination; and
27
(b) the amount of compensation for the determination is the
28
amount referred to in section 1067; and
29
(c) the CSLR operator has offered under section 1068 that
30
amount of compensation; and
31
(d) the person has accepted under section 1069 that offer of that
32
amount of compensation.
33
Schedule 1
Financial services compensation scheme of last resort
Part 1
Main amendments
10
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
(2) The CSLR operator must pay the amount of compensation to the
1
person:
2
(a) in a single lump sum; or
3
(b) if a determination under subsection 1069H(2) specifies,
4
under subsection 1069H(3), a class of persons that includes
5
the person--in the instalments specified in the determination
6
for that class of persons over the period specified in the
7
determination.
8
(3) The CSLR operator must not pay an amount under this section
9
before:
10
(a) the start of the first levy period; or
11
(b) any later day prescribed by regulations made for the purposes
12
of this paragraph.
13
1064 Eligibility for compensation payments
14
Eligibility for compensation
15
(1) A person is eligible for compensation for a relevant AFCA
16
determination made in respect of the person if:
17
(a) the determination requires an amount to be paid to the person
18
by an entity or body (the
relevant entity
), whether or not the
19
relevant entity still exists; and
20
(b) the person has notified AFCA:
21
(i) within 12 months after the day the determination was
22
made; or
23
(ii) within such longer period as AFCA agrees with the
24
person;
25
that the person has not been paid the amount; and
26
(c) in the case where the relevant entity still exists:
27
(i) AFCA has finished taking steps to require the amount to
28
be paid to the person by the relevant entity, which may
29
have included taking one or more of the steps
30
mentioned in subsection (2) if AFCA considered them
31
appropriate; and
32
(ii) AFCA has notified the person, in writing, that AFCA
33
has finished taking such steps; and
34
(d) the amount has not been fully paid to the person; and
35
Financial services compensation scheme of last resort
Schedule 1
Main amendments
Part 1
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
11
(e) the person is not eligible to receive, under any other statutory
1
compensation scheme, compensation:
2
(i) for the matters covered by the determination; and
3
(ii) for an amount equal to or greater than the amount
4
required to be paid in accordance with the
5
determination; and
6
(f) the person applies in accordance with section 1066 to the
7
CSLR operator for compensation for the determination; and
8
(g) the person has not withdrawn that application for
9
compensation; and
10
(h) the CSLR operator reasonably believes, having regard to:
11
(i) the relevant entity's financial position (if the relevant
12
entity still exists); or
13
(ii) any other reason;
14
that the person is unlikely to be fully paid the amount in
15
accordance with the determination.
16
Note:
A person's application for compensation may be withdrawn at any
17
time before an offer of compensation is accepted by the person (see
18
subsection 1066(4)).
19
Appropriate steps by AFCA
20
(2) For the purposes of paragraph (1)(c), the steps are the following:
21
(a) seeking an explanation from the relevant entity for the
22
relevant entity not paying the amount to the person in
23
accordance with the relevant AFCA determination;
24
(b) explaining to the relevant entity the consequences of not
25
paying the amount to the person;
26
(c) discussing with the relevant entity a reasonable payment plan
27
or other alternatives to paying the amount to the person;
28
(d) if the relevant entity is (or has become) a Chapter 5 body
29
corporate--engaging with an officer of the Chapter 5 body
30
corporate to assess whether the body will pay the amount to
31
the person.
32
Note:
In addition to these steps, AFCA may take any other steps it considers
33
appropriate and cost effective.
34
Schedule 1
Financial services compensation scheme of last resort
Part 1
Main amendments
12
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
1065 Meaning of relevant AFCA determination
1
(1) A determination made by AFCA in respect of a person is a
2
relevant AFCA determination
if:
3
(a) the determination relates to a complaint by the person that:
4
(i) at the time the complaint is made, is a complaint against
5
another person (the
relevant entity
) who (at that time) is
6
a member of the AFCA scheme; and
7
(ii) is a complaint about a product, or service, of a kind
8
mentioned in subsection (2); and
9
(b) the determination:
10
(i) requires the relevant entity to pay an amount to the
11
person, whether or not the relevant entity still exists;
12
and
13
(ii) is accepted by the person.
14
(2) For the purposes of subparagraph (1)(a)(ii), the kinds of products
15
and services are as follows:
16
(a) engaging in a credit activity (within the meaning of the
17
National Consumer Credit Protection Act 2009
):
18
(i) as a credit provider; or
19
(ii) other than as a credit provider;
20
(b) providing financial product advice that is personal advice
21
provided to a person as a retail client about one or more
22
products that include at least one relevant financial product
23
(within the meaning of Part 7.6 of this Act);
24
(c) dealing in securities for a person as a retail client, other than
25
issuing securities.
26
(3) In this section:
27
credit provider
has the same meaning as in any Part of the
National
28
Consumer Credit Protection Act 2009
other than Part 3-2CA.
29
1066 Applications for compensation payments
30
(1) A person may apply, in the approved form, to the CSLR operator
31
for compensation for a relevant AFCA determination made in
32
respect of the person.
33
Financial services compensation scheme of last resort
Schedule 1
Main amendments
Part 1
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
13
(2) An application is in the approved form if and only if:
1
(a) it is in the form approved by the CSLR operator; and
2
(b) it includes any information (including any declarations)
3
required by the form; and
4
(c) it is given in the manner required by the CSLR operator.
5
(3) The CSLR operator may approve a form for the purposes of
6
paragraph (2)(a).
7
(4) If a person makes an application for compensation for a relevant
8
AFCA determination made in respect of the person, the person
9
may:
10
(a) amend the application at any time before the CSLR operator
11
offers under section 1068 to the person an amount of
12
compensation for the determination; or
13
(b) withdraw the application any time before the person accepts
14
under 1069 such an offer.
15
1067 Amount of compensation payments
16
The amount of compensation for a person for a relevant AFCA
17
determination made in respect of the person must be an amount
18
equal to the lower of the following amounts:
19
(a) $150,000;
20
(b) the amount payable to the person in accordance with the
21
relevant AFCA determination, less:
22
(i) any amount paid to the person in accordance with the
23
relevant AFCA determination, including any partial
24
payments or any payments made to the person as an
25
unsecured creditor of a Chapter 5 body corporate for the
26
matters covered by the determination; and
27
(ii) any compensation to which the person is eligible under
28
any other statutory compensation scheme for the matters
29
covered by the determination; and
30
(iii) any other payments made to the person of a kind
31
prescribed by regulations made for the purposes of this
32
subparagraph.
33
Note:
This means, subject to the cap in paragraph (a), the amount payable to
34
the person must be the amount required to be paid in accordance with
35
the relevant AFCA determination. The amount payable cannot
36
Schedule 1
Financial services compensation scheme of last resort
Part 1
Main amendments
14
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
include, for example, an additional interest component not mentioned
1
in that determination.
2
1068 Offer of compensation payments
3
Offer of compensation
4
(1) If a person is eligible under section 1064 for compensation for a
5
relevant AFCA determination made in respect of the person, the
6
CSLR operator must offer to the person, in writing, the amount of
7
compensation referred to in section 1067 for the determination.
8
(2) The offer must explain the effect of section 1069A (subrogation of
9
rights).
10
(3) Before the offer is accepted by the person, the CSLR operator may
11
vary or revoke the offer if the CSLR operator reasonably believes:
12
(a) there is an error relating to the offer; or
13
(b) there is fraud relating to the offer; or
14
(c) there is a change in circumstances affecting:
15
(i) the person's eligibility under section 1064 for the
16
amount of compensation in the offer; or
17
(ii) the amount of compensation in the offer; or
18
(d) other exceptional circumstances exist that justify the
19
variation or revocation.
20
Notification that person is not eligible for compensation
21
(4) If a person:
22
(a) is not eligible under section 1064 for compensation for a
23
relevant AFCA determination made in respect of the person;
24
and
25
(b) has made an application under section 1066 for compensation
26
for the relevant AFCA determination;
27
the CSLR operator must, as soon as reasonably practicable, notify
28
the person, in writing, that the person is not eligible for
29
compensation.
30
(5) A notice to a person under subsection (4) must include reasons
31
why the person is not eligible for compensation.
32
Financial services compensation scheme of last resort
Schedule 1
Main amendments
Part 1
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
15
1069 Acceptance of offer of compensation payments
1
(1) A person accepts an offer made under section 1068 of an amount
2
of compensation if the person notifies the CSLR operator, in
3
writing, that the person accepts the offer.
4
(2) If the person does not accept the offer within 90 days after the day
5
the offer is made, the person is taken to have withdrawn their
6
application for compensation for the relevant AFCA determination
7
to which the offer relates.
8
1069A CSLR operator's right of subrogation if compensation is paid
9
If:
10
(a) the CSLR operator pays an amount of compensation:
11
(i) to a person under section 1063; and
12
(ii) for a relevant AFCA determination that required
13
payment of an amount by another person (the
AFCA
14
member
) who is, or was, a member of the AFCA
15
scheme; and
16
(b) the AFCA member is (or has become) a Chapter 5 body
17
corporate;
18
the CSLR operator is subrogated, to the extent of that amount of
19
compensation, to any rights and remedies that the person may
20
have, in relation to the relevant AFCA determination, that are
21
recognised by an officer of the Chapter 5 body corporate.
22
Division 3--Reimbursement of unpaid AFCA fees
23
1069B Payment of AFCA's unpaid fees
24
(1) The CSLR operator must pay to AFCA an amount equal to
25
AFCA's unpaid fees for a month starting on or after the
26
accumulation
recovery day if AFCA has notified the CSLR
27
operator of those fees in accordance with subsection 1058B(1).
28
(2) The CSLR operator must pay the amount to AFCA as soon as
29
reasonably practicable after AFCA's notification to the CSLR
30
operator of those fees.
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(3) However, the CSLR operator must not pay an amount under this
1
section before:
2
(a) the start of the first levy period; or
3
(b) any later day prescribed by regulations made for the purposes
4
of this paragraph.
5
1069C Payment of AFCA's accumulated unpaid fees
6
(1) The CSLR operator must pay to AFCA an amount equal to
7
AFCA's accumulated unpaid fees if AFCA has notified the CSLR
8
operator of those fees in accordance with subsection 1058B(3).
9
(2) The CSLR operator must pay the amount to AFCA as soon as
10
reasonably practicable after AFCA's notification to the CSLR
11
operator of those fees.
12
(3) However, the CSLR operator must not pay an amount under this
13
section before:
14
(a) the start of the first levy period; or
15
(b) any later day prescribed by regulations made for the purposes
16
of this paragraph.
17
Division 4--Powers, reporting and information sharing
18
Subdivision A--Powers of CSLR operator
19
1069D Power to obtain information and documents
20
(1) If the CSLR operator has reason to believe that a person is capable
21
of giving information or producing documents relevant to an
22
application for compensation under this Part, the CSLR operator
23
may, by written notice to the person, require the person:
24
(a) to give to the CSLR operator, by writing, any such
25
information; or
26
(b) to produce to the CSLR operator such documents or copies of
27
such documents as are stated in the notice;
28
in the manner and within the period specified in the notice.
29
(2) The period specified in a notice given under subsection (1) must be
30
at least 14 days after the day the notice is given.
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(3) If documents (whether originals or copies) are so produced, the
1
CSLR operator:
2
(a) may take possession of, and may make copies of, or take
3
extracts from, the documents; and
4
(b) may keep the documents for as long as is necessary for the
5
purpose of dealing with the application; and
6
(c) must, while keeping the documents, permit a person who
7
would be entitled to inspect any one or more of them (if the
8
documents were not in the possession of the CSLR operator)
9
to inspect at all reasonable times such of the documents as
10
that person would be so entitled to inspect.
11
(4) A person must not fail to comply with a requirement made by the
12
CSLR operator under subsection (1).
13
Penalty: 30 penalty units.
14
(5) Subsection (4) is an offence of strict liability.
15
(6) Subsection (4) does not apply to the extent that the person has a
16
reasonable excuse.
17
Note:
A defendant bears an evidential burden in relation to the matter in this
18
subsection (see subsection 13.3(3) of the
Criminal Code
).
19
(7) If a person who is, or was, a member of the AFCA scheme fails,
20
without a reasonable excuse, to comply with a requirement made
21
by the CSLR operator under subsection (1), the CSLR operator
22
must notify AFCA and ASIC of the person's failure to comply
23
with the notice.
24
(8) The CSLR operator must not require ASIC to give information or
25
produce documents under this section.
26
Note:
For information sharing between ASIC and the CSLR operator, see
27
subparagraph 127(4)(aa)(ia) of the
Australian Securities and
28
Investments Commission Act 2001
.
29
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No. , 2023
Subdivision B--Information sharing and reporting
1
1069E Authorised use or disclosure of information
2
A CSLR staff member may use or disclose information or
3
documents obtained by a CSLR staff member under or for the
4
purposes of this Part if:
5
(a) the use or disclosure is for the purposes of:
6
(i) this Part; or
7
(ii) Part 7.10A; or
8
(iii) the
Financial Services Compensation Scheme of Last
9
Resort Levy Act 2023
; or
10
(iv) the
Financial Services Compensation Scheme of Last
11
Resort Levy (Collection) Act 2023
; or
12
(b) the use or disclosure is to:
13
(i) ASIC; or
14
(ii) AFCA; or
15
(iii) the Information Commissioner; or
16
(iv) the Commissioner of Taxation;
17
for the purposes of assisting the entity or person to perform
18
its functions or exercise its powers.
19
1069F Reporting by CSLR operator
20
Reporting compensation payments
21
(1) If the CSLR operator pays an amount of compensation:
22
(a) to a person under section 1063; and
23
(b) for a relevant AFCA determination that required payment of
24
an amount by an entity or body (the
AFCA member
) who is,
25
or was, a member of the AFCA scheme;
26
the CSLR operator must, as soon as reasonably practicable, notify
27
ASIC, in writing, of details about the AFCA member and the
28
AFCA member's failure to pay the amount required by the relevant
29
AFCA determination.
30
(2) If the CSLR operator:
31
(a) pays an amount of compensation:
32
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(i) to a person under section 1063; and
1
(ii) for a relevant AFCA determination that required
2
payment of an amount by another person (the
AFCA
3
member
) who is, or was, a member of the AFCA
4
scheme; and
5
(b) becomes aware that the AFCA member is a Chapter 5 body
6
corporate while the determination is in force;
7
the CSLR operator must, as soon as reasonably practicable, notify
8
an officer of the Chapter 5 body corporate, in writing, of the
9
amount of compensation paid.
10
Reporting revised claims, fees and costs estimates that exceed cap
11
(3) If a revised claims, fees and costs estimate for a levy period and a
12
sub-sector comes into force that could cause the sub-sector levy
13
cap for the levy period and the sub-sector to be exceeded (or
14
further exceeded), the CSLR operator must notify the Minister of
15
this as soon as practicable.
16
(4) A notice to the Minister under subsection (3) must include the
17
information (if any) prescribed by regulations made for the
18
purposes of this subsection.
19
1069G Publishing reports
20
(1) The CSLR operator must, as soon as reasonably practicable after
21
the end of a levy period, prepare a report for the levy period that
22
contains information about the matters prescribed by regulations
23
made for the purposes of this subsection.
24
(2) The CSLR operator must publish the report on its website.
25
Subdivision C--Powers of the Minister
26
1069H Ministerial determination
27
Ministerial determination
28
(1) Subsection (2) applies if the Minister is notified under
29
subsection 1069F(3) that a revised claims, fees and costs estimate
30
for:
31
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(a) a levy period; and
1
(b) a sub-sector (the
primary sub-sector
);
2
could cause the sub-sector levy cap for the levy period and the
3
primary sub-sector to be exceeded (or further exceeded).
4
(2) The Minister may, by legislative instrument, make a determination
5
for the levy period and the primary sub-sector dealing with one or
6
more of the matters mentioned in subsections (3) to (5).
7
Note:
The matter in subsection (5) involves the determination specifying
8
further sub-sectors on which special levy will be imposed.
9
Manner of payment
10
(3) A determination made under subsection (2) may provide that an
11
amount of compensation payable by the CSLR operator to a person
12
in a specified class of persons must be paid in specified instalments
13
over a specified period of time.
14
Special levy for just the primary sub-sector
15
(4) For the purposes of paragraph 8(3)(b) of the
Financial Services
16
Compensation Scheme of Last Resort Levy Act 2023
, a
17
determination made under subsection (2) of this section may:
18
(a) specify that levy needs to be imposed by subsection 8(3) of
19
that Act for the levy period and the primary sub-sector; and
20
(b) specify the total amount of levy that needs to be imposed by
21
subsection 8(3) of that Act across all persons for the levy
22
period and the primary sub-sector, which must not exceed the
23
difference between:
24
(i) the revised claims, fees and costs estimate (referred to in
25
subsection (1) of this section) for the levy period and the
26
primary sub-sector; and
27
(ii) the total amount of levy already paid as worked out
28
under subsection (6) of this section.
29
Special levy for several sub-sectors not just the primary sub-sector
30
(5) For the purposes of paragraph 9(b) of the
Financial Services
31
Compensation Scheme of Last Resort Levy Act 2023
, a
32
determination made under subsection (2) of this section may:
33
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(a) specify that levy needs to be imposed by section 9 of that Act
1
(
special levy
) for the levy period if the Minister is satisfied
2
that imposing special levy:
3
(i) is necessary due to the number of persons accepting
4
amounts of compensation under section 1069 of this Act
5
for the levy period and the primary sub-sector, and due
6
to the size of the sum of those amounts; and
7
(ii) is the most effective way of enabling payment of those
8
amounts to those persons in a timely manner; and
9
(b) for each of one or more specified sub-sectors--specify a total
10
amount of special levy that needs to be imposed for the levy
11
period across all members of the specified sub-sector if the
12
Minister has had regard to:
13
(i) the impact that imposing that total amount of special
14
levy may have on the financial sustainability and
15
viability of the specified sub-sector; and
16
(ii) the impact that imposing that total amount of special
17
levy across all members of the specified sub-sector may
18
have on the financial system more broadly; and
19
(c) specify the sum of the total amounts of special levy specified
20
under paragraph (b) of this subsection, which must not
21
exceed the difference between:
22
(i) the revised claims, fees and costs estimate (referred to in
23
subsection (1) of this section) for the levy period and the
24
primary sub-sector; and
25
(ii) the total amount of levy already paid as worked out
26
under subsection (6) of this section.
27
Working out the total amount of levy already paid
28
(6) For the purposes of subparagraph (4)(b)(ii) or (5)(c)(ii), work out
29
the sum of:
30
(a) the total amount of levy paid that was earlier imposed by
31
section 8 of the
Financial Services Compensation Scheme of
32
Last Resort Levy Act 2023
across all persons for the levy
33
period and the primary sub-sector; and
34
(b) the total amount of levy paid that was earlier imposed by
35
section 9 of that Act across all persons for all sub-sectors in
36
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relation to any earlier revised claims, fees and costs estimate
1
for the levy period and the primary sub-sector.
2
Division 5--Regulating the CSLR operator
3
1069J Obligation to comply with mandatory requirements
4
The CSLR operator must ensure that the mandatory requirements
5
for the CSLR operator under section 1062 are complied with.
6
1069K ASIC may issue regulatory requirements
7
ASIC may, by legislative instrument, issue to the CSLR operator
8
regulatory requirements relating to compliance with the mandatory
9
requirements for the CSLR operator under section 1062.
10
1069L General directions to CSLR operator
11
Notice of intention to issue a direction
12
(1) If ASIC considers that the CSLR operator has not done all things
13
reasonably practicable to ensure compliance with:
14
(a) the mandatory requirements for the CSLR operator under
15
section 1062; or
16
(b) a condition of the authorisation of the CSLR operator
17
imposed by the Minister (see paragraph 1060(4)(b)); or
18
(c) regulatory requirements issued under section 1069K;
19
ASIC may give the CSLR operator written notice that it intends to
20
give the CSLR operator a specified direction under this section.
21
(2) The notice must set out:
22
(a) the specific measures that the direction will require the CSLR
23
operator to take to comply with the requirements or
24
condition; and
25
(b) the reasons for ASIC's intention to give the direction.
26
Issuing a direction
27
(3) If, after receiving the notice:
28
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(a) the CSLR operator does not take those specific measures;
1
and
2
(b) ASIC still considers that it is appropriate to give the direction
3
to the CSLR operator;
4
ASIC may give the CSLR operator the direction, in writing, with a
5
statement setting out the reasons for giving the direction.
6
(4) The direction must deal with the time by which, or the period
7
during which, it is to be complied with. The time or period must be
8
reasonable.
9
(5) A direction made under this section is not a legislative instrument.
10
Compliance
11
(6) The CSLR operator must comply with a direction made under this
12
section.
13
Note:
Failure to comply with this subsection is an offence (see
14
subsection 1311(1)).
15
(7) If the CSLR operator fails to comply with the direction, ASIC may
16
apply to the Court for, and the Court may make, an order that the
17
CSLR operator comply with the direction.
18
Varying or revoking a direction
19
(8) ASIC may vary a direction made under this section by giving
20
written notice to the CSLR operator.
21
(9) The direction has effect until ASIC revokes it by giving written
22
notice to the CSLR operator.
23
(10) ASIC may revoke the direction, by giving written notice to the
24
CSLR operator, if, at the time of revocation, ASIC considers that
25
the direction is no longer necessary or appropriate.
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No. , 2023
Division 6--Financial matters
1
1069M Costs for first levy period
2
Estimate of costs for first levy period
3
(1) The CSLR operator may, by notifiable instrument made at any
4
time before the start of the first levy period, determine for the first
5
levy period and a sub-sector an estimate that is the sum of:
6
(a) the specified amount equal to what the CSLR operator
7
reasonably believes (having regard to actuarial principles)
8
will be the total amount of compensation payable under
9
section 1063:
10
(i) during the first levy period; and
11
(ii) for the sub-sector;
12
other than any such compensation relating to pre-CSLR
13
complaints; and
14
(b) the specified amount equal to what the CSLR operator
15
reasonably believes (having regard to actuarial principles)
16
will be the portion of the sum of the following that is
17
attributable to the sub-sector:
18
(i) the sum of AFCA's unpaid fees expected for each of the
19
months ending on or after the accumulation recovery
20
day but before the second levy period, other than any
21
such fees relating to pre-CSLR complaints;
22
(ii) the capital reserve establishment contribution;
23
(iii) the CSLR operator's expected administrative costs for
24
the first levy period.
25
Note:
A single instrument may determine estimates for several sub-sectors.
26
(2) The notifiable instrument must include each of the amounts
27
referred to in subparagraphs (1)(b)(i) to (iii).
28
Reconciliation of costs for first levy period
29
(3) The CSLR operator may, by notifiable instrument and as soon as
30
reasonably practicable after the first levy period, determine the
31
revised costs for the first levy period and a sub-sector by
32
calculating the sum of the following amounts:
33
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25
(a) the total amount of compensation paid under section 1063
1
during the first levy period for the sub-sector, other than any
2
such compensation relating to pre-CSLR complaints;
3
(b) the amount equal to the portion of the sum of the following
4
amounts that the CSLR operator reasonably believes (having
5
regard to actuarial principles) are attributable to the
6
sub-sector:
7
(i) the sum of AFCA's unpaid fees for each of the months
8
ending on or after the accumulation recovery day but
9
before the second levy period, other than any such fees
10
relating to pre-CSLR complaints;
11
(ii) the capital reserve establishment contribution;
12
(iii) the CSLR operator's administrative costs for the first
13
levy period.
14
Note:
A single instrument may determine revised costs for several
15
sub-sectors.
16
1069N Payment to the CSLR operator of amount for the first levy
17
period for the scheme
18
(1) The Commonwealth must pay to the CSLR operator the amount
19
mentioned in subsection (2) for the first levy period for the
20
following purposes:
21
(a) the CSLR operator paying compensation under section 1063
22
during the first levy period, other than any such
23
compensation relating to pre-CSLR complaints;
24
(b) the CSLR operator paying AFCA's unpaid fees for each
25
month ending on or after the accumulation recovery day but
26
before the second levy period, other than any such fees
27
relating to pre-CSLR complaints;
28
(c) the CSLR operator establishing approximately one third of
29
the capital reserve (within the meaning of the
Financial
30
Services Compensation Scheme of Last Resort Levy
31
(Collection) Act 2023
);
32
(d) the CSLR operator paying the CSLR operator's
33
administrative costs for the first levy period.
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(2) For the purposes of subsection (1), the amount is equal to the sum
1
of each estimate determined under subsection 1069M(1) for the
2
first levy period and a sub-sector.
3
1069P Payment to the CSLR operator of amounts equal to levy
4
(1) The Commonwealth must pay to the CSLR operator an amount
5
equal to each amount received by ASIC, on behalf of the
6
Commonwealth, by way of:
7
(a) an instalment of levy (within the meaning of the
Financial
8
Services Compensation Scheme of Last Resort Levy
9
(Collection) Act 2023
); or
10
(b) late payment penalty (within the meaning of that Act); or
11
(c) shortfall penalty (within the meaning of that Act).
12
(2) The Consolidated Revenue Fund is appropriated for the purposes
13
of subsection (1).
14
1069Q Application of money by CSLR operator
15
(1) The money of the CSLR operator is to be applied only:
16
(a) to pay compensation under section 1063; and
17
(b) to pay AFCA's unpaid fees under section 1069B; and
18
(c) to pay AFCA's accumulated unpaid fees under
19
section 1069C; and
20
(d) to pay the CSLR operator's administrative costs; and
21
(e) to reimburse to ASIC the costs that ASIC has notified to the
22
CSLR operator under subsection 9(4) of the
Financial
23
Services Compensation Scheme of Last Resort Levy
24
(Collection) Act 2023
; and
25
(f) to establish and restore the capital reserve (within the
26
meaning of the
Financial Services Compensation Scheme of
27
Last Resort Levy (Collection) Act 2023
).
28
(2) Subsection (1) does not prevent investment of money.
29
1069R Investment by CSLR operator
30
The CSLR operator must not invest money of the CSLR operator
31
unless:
32
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27
(a) the money is not immediately required for the purposes
1
mentioned in paragraphs 1069Q(1)(a) to (e); and
2
(b) the money is invested:
3
(i) on deposit with an ADI (within the meaning of the
4
Banking Act 1959
), including a deposit evidenced by a
5
certificate of deposit; or
6
(ii) in securities of, or securities guaranteed by, the
7
Commonwealth, a State or a Territory.
8
1069S Recovery of overpayments
9
(1) If:
10
(a) the CSLR operator pays an amount of compensation to a
11
person under, or purportedly under, this Part; and
12
(b) the amount paid exceeds the amount (if any) properly
13
payable to the person under this Part;
14
the amount of the excess is recoverable by the CSLR operator as a
15
debt due to the CSLR operator by action against the person in the
16
Federal Court or the Federal Circuit and Family Court of Australia
17
(Division 2).
18
(2) An amount equal to the excess may alternatively be deducted from
19
any other amount of compensation payable under this Part to, or
20
for the benefit of, the person.
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Part 2--Other amendments
1
Australian Securities and Investments Commission Act 2001
2
4 After paragraph 12A(1)(b)
3
Insert:
4
(ba) the
Financial Services Compensation Scheme of Last Resort
5
Levy (Collection) Act 2023
;
6
5 After subparagraph 127(4)(aa)(i)
7
Insert:
8
(ia) the CSLR operator (within the meaning of the
9
Corporations Act 2001
); or
10
Corporations Act 2001
11
6 After subsection 601AB(1B)
12
Insert:
13
(1C) ASIC may also decide to deregister a company if the company is
14
liable to pay an instalment of levy (within the meaning of the
15
Financial Services Compensation Scheme of Last Resort Levy
16
(Collection) Act 2023
) and the company has not paid in full at least
17
12 months after the due date for payment:
18
(a) the amount of the instalment of levy; and
19
(b) the amount of any late payment penalty payable in relation to
20
the instalment of levy; and
21
(c) the amount of any shortfall penalty payable in relation to the
22
instalment of levy.
23
7 After subsection 601AH(1A)
24
Insert:
25
(1B) ASIC may reinstate the registration of a company deregistered
26
under subsection 601AB(1C) if:
27
(a) ASIC receives an application in relation to the reinstatement
28
of the company's registration; and
29
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(b) the instalments of levy (within the meaning of the
Financial
1
Services Compensation Scheme of Last Resort Levy
2
(Collection) Act 2023
) imposed on the company are paid in
3
full; and
4
(c) the amount of any late payment penalty payable in relation to
5
the instalments of levy is paid in full; and
6
(d) the amount of any shortfall penalty payable in relation to the
7
instalments of levy is paid in full.
8
8 After paragraph 915B(1)(f)
9
Insert:
10
; or (g) is liable to pay an instalment of levy (within the meaning of
11
the
Financial Services Compensation Scheme of Last Resort
12
Levy (Collection) Act 2023
) and has not paid in full at least
13
12 months after the due date for payment:
14
(i) the amount of the instalment of levy; and
15
(ii) the amount of any late payment penalty in relation to the
16
instalment of levy; and
17
(iii) the amount of any shortfall penalty payable in relation
18
to the instalment of levy.
19
9 After subsection 915B(1A)
20
Insert:
21
(1B) ASIC must cancel an Australian financial services licence held by
22
an individual, by giving written notice to the individual, if:
23
(a) the individual is required to pay an amount to another person
24
in accordance with a relevant AFCA determination; and
25
(b) the CSLR operator has paid, under section 1063, an amount
26
of compensation to the other person for the relevant AFCA
27
determination.
28
10 After paragraph 915B(2)(e)
29
Insert:
30
; or (f) in the case of a partnership that is liable to pay an instalment
31
of levy (within the meaning of the
Financial Services
32
Compensation Scheme of Last Resort Levy (Collection) Act
33
2023
)--the following have not been paid in full at least 12
34
months after the due date for payment:
35
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(i) the amount of the instalment of levy;
1
(ii) the amount of any late payment penalty in relation to the
2
instalment of levy;
3
(iii) the amount of any shortfall penalty payable in relation
4
to the instalment of levy.
5
11 After subsection 915B(2A)
6
Insert:
7
(2B) ASIC must cancel an Australian financial services licence held by
8
a partnership, by giving written notice to the partnership, if:
9
(a) one or more of the partners is required to pay an amount to a
10
person in accordance with a relevant AFCA determination;
11
and
12
(b) the CSLR operator has paid, under section 1063, an amount
13
of compensation to the person for the relevant AFCA
14
determination.
15
12 After paragraph 915B(3)(e)
16
Insert:
17
; or (f) the body is liable to pay an instalment of levy (within the
18
meaning of the
Financial Services Compensation Scheme of
19
Last Resort Levy (Collection) Act 2023
) and has not paid in
20
full at least 12 months after the due date for payment:
21
(i) the amount of the instalment of levy; and
22
(ii) the amount of any late payment penalty in relation to the
23
instalment of levy; and
24
(iii) the amount of any shortfall penalty payable in relation
25
to the instalment of levy.
26
13 After subsection 915B(3A)
27
Insert:
28
(3B) ASIC must cancel an Australian financial services licence held by
29
a body corporate, by giving written notice to the body, if:
30
(a) the body is required to pay an amount to a person in
31
accordance with a relevant AFCA determination; and
32
Financial services compensation scheme of last resort
Schedule 1
Other amendments
Part 2
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
31
(b) the CSLR operator has paid, under section 1063, an amount
1
of compensation to the person for the relevant AFCA
2
determination.
3
14 After paragraph 915B(4)(e)
4
Insert:
5
; or (f) in the case of a licensee that is a single legal entity under
6
section 761FA of this Act and also liable to pay an instalment
7
of levy (within the meaning of the
Financial Services
8
Compensation Scheme of Last Resort Levy (Collection) Act
9
2023
)--the following have not been paid in full at least 12
10
months after the due date for payment:
11
(i) the amount of the instalment of levy;
12
(ii) the amount of any late payment penalty in relation to the
13
instalment of levy;
14
(iii) the amount of any shortfall penalty payable in relation
15
to the instalment of levy.
16
15 At the end of section 915B
17
Add:
18
(4B) ASIC must cancel an Australian financial services licence held by
19
the trustees of a trust, by giving written notice to the trustees, if:
20
(a) the trustees of the trust are required to pay an amount to a
21
person in accordance with a relevant AFCA determination;
22
and
23
(b) the CSLR operator has paid, under section 1063, an amount
24
of compensation to the person for the relevant AFCA
25
determination.
26
16 After paragraph 920A(1)(j)
27
Insert:
28
(ja) all of the following apply:
29
(i) an individual who holds an Australian financial services
30
licence, a partner in a partnership, a body corporate or a
31
trustee of a trust is required to pay an amount in
32
accordance with a relevant AFCA determination;
33
Schedule 1
Financial services compensation scheme of last resort
Part 2
Other amendments
32
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
No. , 2023
(ii) the CSLR operator has paid, under section 1063, an
1
amount of compensation for the relevant AFCA
2
determination;
3
(iii) at the time the payment is made by the CSLR operator,
4
the person is the individual licensee, a partner in the
5
partnership, an officer of the body corporate or the
6
trustee of the trust; or
7
17 After paragraph 1317C(gdc)
8
Insert:
9
(gdca) a decision by ASIC under subsection 915B(1B), (2B), (3B)
10
or (4B) (immediate cancellation of an Australian financial
11
services licence); or
12
18 In the appropriate position in Schedule 3
13
Insert:
14
Subsection 1069L(6)
(a) for an individual--100 penalty units for each
day, or part of a day, in respect of which the
offence is committed; and
(b) for a body corporate--1,000 penalty units
for each day, or part of a day, in respect of
which the offence is committed
National Consumer Credit Protection Act 2009
15
19 At the end of subsection 54(1)
16
Add:
17
; or (e) in the case of a licensee that is liable to pay an instalment of
18
levy (within the meaning of the
Financial Services
19
Compensation Scheme of Last Resort Levy (Collection) Act
20
2023
)--the following have not been paid in full at least 12
21
months after the due date for payment:
22
(i) the amount of the instalment of levy;
23
(ii) the amount of any late payment penalty in relation to the
24
instalment of levy;
25
(iii) the amount of any shortfall penalty payable in relation
26
to the instalment of levy.
27
Financial services compensation scheme of last resort
Schedule 1
Other amendments
Part 2
No. , 2023
Treasury Laws Amendment (Financial Services Compensation Scheme
of Last Resort) Bill 2023
33
20 After subsection 54(1A)
1
Insert:
2
(1B) ASIC must cancel a licensee's licence if:
3
(a) the licensee is required to pay an amount to a person in
4
accordance with a relevant AFCA determination (within the
5
meaning of the
Corporations Act 2001
); and
6
(b) the CSLR operator (within the meaning of that Act) has paid,
7
under section 1063 of that Act, an amount of compensation
8
to the person for the relevant AFCA determination.
9
21 After paragraph 80(1)(fb)
10
Insert:
11
(fba) if all of the following apply:
12
(i) an individual who holds a licence, a partner in a
13
partnership, a body corporate or a trustee of a trust is
14
required to pay an amount in accordance with a relevant
15
AFCA determination (within the meaning of the
16
Corporations Act 2001
);
17
(ii) the CSLR operator (within the meaning of that Act) has
18
paid, under section 1063 of that Act, an amount of
19
compensation for the relevant AFCA determination;
20
(iii) at the time the payment is made by the CSLR operator,
21
the person is the individual licensee, a partner in the
22
partnership, an officer (within the meaning of that Act)
23
of the body corporate or the trustee of the trust; or
24
22 Before paragraph 327(1)(a)
25
Insert:
26
(aa) a decision of ASIC under subsection 54(1B) (which deals
27
with immediate cancellation of a licence); or
28