Commonwealth Consolidated Acts

INSURANCE ACT 1973 - SECT 25A

  (1)   On application by APRA, the Federal Court of Australia may, by order, disqualify a person from being or acting as a person referred to in subsection   (2), for a period that the Court considers appropriate, if the Court is satisfied that:

  (a)   the person is not a fit and proper person to be or act as such a person; and

  (b)   the disqualification is justified.

  (2)   For the purposes of subsection   (1), the Court may disqualify a person from being or acting as one or more of the following:

  (a)   a director or senior manager of:

  (i)   a particular general insurer; or

  (ii)   a class of general insurers; or

  (iii)   any general insurer;

    (other than a particular foreign general insurer, a class of foreign general insurers or any foreign general insurer);

  (b)   a senior manager, or agent in Australia for the purpose of section   118, of:

  (i)   a particular foreign general insurer; or

  (ii)   a class of foreign general insurers; or

  (iii)   any foreign general insurer;

  (c)   a director or senior manager of:

  (i)   a particular authorised NOHC; or

  (ii)   a class of authorised NOHCs; or

  (iii)   any authorised NOHC;

  (d)   a director or senior manager of:

  (i)   a particular corporate agent; or

  (ii)   a class of corporate agents; or

  (iii)   any corporate agent.

  (3)   In deciding whether it is satisfied as mentioned in paragraph   (1)(a), the Court may take into account:

  (a)   any matters specified in the regulations for the purposes of this paragraph; and

  (b)   any criteria for fitness and propriety set out in the prudential standards; and

  (c)   any other matters the Court considers relevant.

  (4)   In deciding whether the disqualification is justified as mentioned in paragraph   (1)(b), the Court may have regard to:

  (a)   the person's conduct in relation to the management, business or property of any corporation; and

  (b)   any other matters the Court considers relevant.

  (5)   As soon as practicable after the Court disqualifies a person under this section, APRA must cause particulars of the disqualification:

  (a)   to be given:

  (i)   if the person is, or is acting as, a person referred to in subparagraph   (2)(a)(i)--to the general insurer concerned; or

  (ii)   if the person is, or is acting as, a person referred to in subparagraph   (2)(b)(i)--to the foreign general insurer concerned; or

  (iii)   if the person is, or is acting as, a person referred to in paragraph   (2)(c)(i)--to the authorised NOHC concerned; or

  (iv)   if the person is, or is acting as, a person referred to in paragraph   (2)(d)(i)--to the corporate agent concerned, and to any foreign general insurer for which the agent is the corporate agent; and

  (b)   to be published in the Gazette .