Commonwealth Consolidated Acts

BANKING ACT 1959 - SECT 29

  (1)   APRA may direct an ADI not to issue a covered bond.

  (2)   APRA may, by written notice given to the ADI, give the ADI such a direction if:

  (a)   APRA has reason to believe that the ADI has contravened:

  (i)   this Division; or

  (ii)   another provision of this Act, a prudential requirement regulation or a prudential standard relating to covered bonds; or

  (b)   APRA has given the ADI a direction under section   11CA.

  (3)   A notice under subsection   (2) is not a legislative instrument.

  (4)   The direction may deal with the time by which, or period during which, it is to be complied with.

  (5)   The ADI has power to comply with the direction despite anything in its constitution or any contract or arrangement to which it is a party.

  (6)   APRA may, by notice in writing to the ADI, vary the direction if, at the time of the variation, it considers that the variation is necessary and appropriate.

  (7)   The direction has effect until APRA revokes it by notice in writing to the ADI. APRA may revoke the direction if, at the time of revocation, it considers that the direction is no longer necessary or appropriate.

  (8)   Part   VI applies to a decision to give a direction under subsection   (1).

  (10)   This section does not limit any other powers of APRA to give directions.