FINANCIAL ACCOUNTABILITY REGIME ACT 2023 (NO. 67, 2023)

Contents

Chapter 1--Introduction 2

Part 1--Preliminary 2

1............ Short title............................................................................................. 2

2............ Commencement................................................................................... 2

3............ Objects of this Act.............................................................................. 2

4............ Simplified outline of this Act.............................................................. 3

5............ Act binds the Crown........................................................................... 4

6............ Extension to external Territories.......................................................... 4

7............ Extra-territorial application.................................................................. 4

Part 2--Interpretation 5

8............ Definitions.......................................................................................... 5

9............ Meaning of accountable entity............................................................ 9

10.......... Meaning of accountable person........................................................ 10

11.......... When a person is not an accountable person.................................... 13

12.......... Meaning of significant related entity................................................. 13

13.......... Meaning of constitutionally covered body......................................... 15

Chapter 2--Obligations under the Financial Accountability Regime 17

Part 1--Introduction 17

14.......... Simplified outline of this Chapter...................................................... 17

Part 2--Obligations of accountable entities and accountable persons 19

Division 1--Accountable entities 19

15.......... Obligations of accountable entities.................................................... 19

16.......... Minister may exempt accountable entities......................................... 19

17.......... Inconsistency with corresponding foreign laws................................ 20

Division 2--Accountable persons 22

18.......... Obligations of accountable persons................................................... 22

19.......... Inconsistency with corresponding foreign laws................................ 22

Part 3--Accountability obligations 24

20.......... The accountability obligations of an accountable entity..................... 24

21.......... The accountability obligations of an accountable person................... 24

22.......... Taking reasonable steps.................................................................... 26

Part 4--Key personnel obligations 27

23.......... The key personnel obligations of an accountable entity..................... 27

24.......... People prohibited from being an accountable person........................ 28

Part 5--Deferred remuneration obligations 30

25.......... The deferred remuneration obligations of an accountable entity........ 30

26.......... Meaning of variable remuneration................................................... 31

27.......... Minimum amount of variable remuneration to be deferred................ 32

28.......... Minimum deferral period for variable remuneration.......................... 34

29.......... Exemption for small amounts of variable remuneration.................... 37

30.......... Exemption for variable remuneration payable for temporary performance 37

Part 6--Notification obligations 38

31.......... The notification obligations of an accountable entity......................... 38

32.......... Events for which the Regulator must be notified............................... 40

33.......... Accountability statements.................................................................. 41

34.......... Accountability map........................................................................... 41

Chapter 3--Administration 42

Part 1--Introduction 42

35.......... Simplified outline of this Chapter...................................................... 42

Part 2--The Regulator 43

Division 1--Arrangements for administration 43

36.......... Administration of this Act................................................................. 43

37.......... Arrangement for administration........................................................ 45

38.......... Agreement about exercise of powers................................................ 45

Division 2--Information sharing 47

39.......... Disclosure of information and documents between APRA and ASIC 47

Part 3--Registration and disqualification of accountable persons 49

Division 1--Registration of accountable persons 49

40.......... Register of accountable persons........................................................ 49

41.......... Registration of a person as an accountable person............................ 50

Division 2--Disqualification of accountable persons 52

42.......... Regulator may disqualify an accountable person............................... 52

43.......... Regulator may vary or revoke a disqualification............................... 53

44.......... Allowing a person disqualified by the Regulator to act as an accountable person 54

Part 4--Regulatory powers and enforcement 55

Division 1--Investigations 55

45.......... Regulator may appoint an investigator.............................................. 55

46.......... Requirement to assist investigator..................................................... 56

47.......... Investigator may require production of books etc............................. 56

48.......... Concealing books, accounts or documents relevant to investigation. 57

Division 2--Examinations 58

49.......... Notice requiring appearance for examination.................................... 58

50.......... Conduct of examinations................................................................... 58

51.......... Who may be present at examinations................................................ 59

52.......... Record of examination...................................................................... 60

53.......... Offences............................................................................................ 60

Division 3--Evidentiary use of certain material 61

54.......... Statements made at an examination--proceedings against examinee. 61

55.......... Statements made at an examination--other proceedings................... 62

56.......... Weight of evidence under section 55................................................. 63

57.......... Objection to admission of statements made at examination............... 64

58.......... Copies of, or extracts from, certain books, accounts and documents 65

59.......... Admissibility of investigation report................................................. 66

60.......... Exceptions to admissibility of investigation report............................ 66

61.......... Material otherwise admissible........................................................... 67

Division 4--Requesting information 68

62.......... Regulator may request information................................................... 68

63.......... Failing to give information................................................................ 70

Division 5--Regulator's power to issue directions 71

Subdivision A--Kinds of directions 71

64.......... Direction dealing with non-compliance............................................. 71

65.......... Direction to reallocate responsibilities............................................... 73

Subdivision B--Non-compliance with directions 75

66.......... Offence provision for non-compliance with a direction.................... 75

Subdivision C--Secrecy and disclosure provisions relating to directions 76

67.......... Regulator may determine that a direction is covered by secrecy provision 76

68.......... Secrecy relating to directions............................................................. 77

69.......... Disclosure of publicly available information..................................... 78

70.......... Disclosure allowed by the Regulator................................................. 78

71.......... Disclosure for the purpose of seeking review or legal advice........... 79

72.......... Disclosure under the APRA Act....................................................... 80

73.......... Disclosure under the ASIC Act........................................................ 81

74.......... Disclosure in circumstances set out in the Minister rules.................. 81

75.......... Disclosure for purpose...................................................................... 82

76.......... Exceptions operate independently..................................................... 82

Subdivision D--Other provisions relating to directions 82

77.......... Direction not grounds for denial of obligations................................. 82

78.......... Information to the Minister about certain directions.......................... 84

79.......... Relationship with other laws............................................................. 84

Division 6--Civil penalties 85

80.......... Civil penalty provision for non-compliance with obligations............ 85

81.......... Ancillary contravention of civil penalty provisions........................... 85

82.......... Civil penalty provisions--enforcement............................................. 86

83.......... Civil penalty provisions--amount of penalty.................................... 87

Division 7--Enforceable undertakings 89

84.......... Enforceable undertakings.................................................................. 89

Division 8--Injunctions 91

85.......... Injunctions........................................................................................ 91

Division 9--Miscellaneous 92

86.......... Physical elements of offences........................................................... 92

87.......... Contravening an offence provision or a civil penalty provision........ 92

88.......... Self-incrimination.............................................................................. 92

89.......... Legal professional privilege.............................................................. 93

90.......... Powers of Court relating to non-compliance with this Act................ 94

Part 5--Review of decisions 95

91.......... Reviewable decisions........................................................................ 95

92.......... Notice of decisions and review rights............................................... 98

93.......... Affected person may request reconsideration of reviewable decision 99

94.......... Reconsideration of reviewable decision............................................ 99

95.......... Review by the Administrative Appeals Tribunal............................. 100

Part 6--Miscellaneous 102

96.......... Disclosure for the purpose of seeking review or legal advice......... 102

97.......... Indemnifying accountable entities................................................... 102

98.......... Causes of action not created............................................................ 103

99.......... Compensation for acquisition of property....................................... 103

100........ Conduct of directors, employees and agents................................... 103

101........ Protection from liability--general................................................... 105

102........ Protection from liability--directions and secrecy............................ 105

103........ Protection from liability--provisions do not limit each other.......... 106

104........ Minister rules.................................................................................. 106

105........ Regulator rules................................................................................ 107

Commonwealth Numbered Acts

FINANCIAL ACCOUNTABILITY REGIME ACT 2023 (NO. 67, 2023) - NOTES