Commonwealth Consolidated Acts

INSURANCE ACT 1973 - SECT 50

  (1)   In this Part, unless the contrary intention appears:

"affairs" , in relation to a body corporate that is a general insurer, authorised NOHC or the subsidiary of a general insurer or authorised NOHC or to a body corporate associated with another body corporate, includes:

  (a)   the promotion, formation, membership, control, trading, dealings, business and property of the body corporate;

  (b)   the ownership of shares in, debentures of and prescribed interests made available by the body corporate;

  (c)   matters concerned with the ascertainment of the persons who are or have been financially interested in the success or failure, or apparent success or failure, of the body corporate or are or have been able to control or to influence materially the policy of the body corporate; and

  (d)   the circumstances under which a person acquired or disposed of, or became entitled to acquire or dispose of, shares in, debentures of or prescribed interests made available by the body corporate.

"prescribed interest" means an interest in a managed investment scheme within the meaning of the Corporations Act 2001 .

"prescribed person" , in relation to a body corporate that is a general insurer, authorised NOHC or the subsidiary of a general insurer or authorised NOHC, or a body corporate associated with another body corporate, means:

  (a)   a person who is, or has at any time been, a director, secretary, officer or employee of the body corporate;

  (b)   a person who acts or has at any time acted as solicitor, auditor or in any other capacity for the body corporate;

  (c)   a person who:

  (i)   has, or has at any time had, in the person's possession any property of the body corporate;

  (ii)   is indebted to the body corporate; or

  (iii)   is capable of giving information concerning the affairs of the body corporate; and

  (d)   where APRA has given notice in writing to a person that APRA has reasonable grounds for believing that that person is a person referred to in paragraph   (c), that person;

but does not include:

  (e)   a receiver, or a receiver and manager, of property of the body; or

  (f)   an administrator, within the meaning of the Corporations Act 2001 , of the body; or

  (g)   an administrator of a deed of company arrangement executed by the body under Part   5.3A of that Act; or

  (i)   a liquidator or provisional liquidator of the body.

  (2)   For the purposes of this Part, a body corporate is associated with another body corporate if the two bodies corporate are related to each other and:

  (a)   the first - mentioned body corporate is a general insurer or authorised NOHC; or

  (b)   either of those bodies corporate is, or has directors who are, accustomed or under an obligation, whether formal or informal, to act in accordance with the directions, instructions or wishes of the other body corporate or of its directors;

and references in this Part to a body corporate having been associated with another body corporate shall be construed accordingly.

  (3)   The question whether bodies corporate are related to each other for the purposes of this Part   is to be determined in the same way as the question whether bodies corporate are related to each other would be determined under the Corporations Act 2001 if, in section   46 of that Act:

  (a)   the reference to a body corporate that is in a position to cast, or control the casting of, more than one - half of the maximum number of votes that might be cast at a general meeting of another body corporate were a reference to a body corporate that is in a position to cast, or control the casting of, more than one - quarter of that number of votes; and

  (b)   the reference to a body corporate holding more than one - half of the issued share capital of another body corporate were a reference to a body corporate holding more than one - quarter of the issued share capital of another body corporate.