Explanatory Memorandum
(Circulated by authority of the Minister for Financial Services and Regulation, the Honourable J.B. Hockey, MP)4 - Explanation of items
Schedule 1 - Amendment of the Australian Prudential Regulation Authority Act 1998
| Schedule 1 amends the Australian Prudential Regulation Authority Act 1998 (APRA Act) to exempt the Australian Prudential Regulation Authority (APRA) from paying sales tax on the goods it purchases. |
| In addition, this schedule proposes some largely technical amendments to the secrecy provisions in the APRA Act, enabling the secrecy regime to operate more effectively. These amendments include extending the protection afforded to documents and information, introducing provisions which will assist the public in contacting bodies regulated by APRA, enabling APRA to disclose information relating to compliance matters and enforcement action, and drawing attention to requirements of the Criminal Code and Privacy Act 1988 . |
4.1 Items 1 and 2 will commence on the date of commencement of the APRA Act .
4.2 All other items in the Schedule will commence on the day the Bill receives Royal Assent.
4.3 These items amend section 55 of the APRA Act to ensure that sales tax is not payable on goods purchased by APRA. It was the Governments intention when APRA was established that APRA would be exempt from all Commonwealth and State taxes, including sales tax.
New definition of body regulated by APRA
4.4 This item inserts a new definition of body regulated by APRA in subsection 56(1) of the APRA Act. The purpose of the definition is to extend the protection afforded to documents and information under section 56 to bodies that have, at any time, been regulated by APRA. This will mean, for example, that information or documents that are protected under section 56 will continue to be protected even after the body to which they relate has ceased to be regulated by APRA.
Amendment to subsection 56(2)
4.5 This item amends subsection 56(2) of the APRA Act to provide that it is not an offence to disclose information or produce a document in accordance with new subsections 56(7A) and (7B).
Evidential requirements of the Criminal Code
4.6 These items insert notes after subsections 56(3), (4), (5), (6) and (7) of the APRA Act drawing attention to the evidential requirements of the Criminal Code .
Disclosure relating to public contact, compliance matters and enforcement action
4.7 This item inserts new subsections 56(7A) and 56(7B) in the APRA Act. New subsection 56(7A) will allow APRA to disclose public contact information relating to the bodies it regulates, such as the names, postal and street addresses, telephone numbers, facsimile numbers, e-mail addresses and web sites of those bodies. This amendment is designed to assist the public in contacting bodies regulated by APRA. The item also inserts a note after subsection 56(7A) drawing attention to evidential requirements of the Criminal Code .
4.8 New subsection 56(7B) will allow APRA to disclose information relating to whether or not bodies it regulates comply with relevant legislation. For example, APRA may publish a list of those superannuation entities which are complying funds under the Superannuation Industry (Supervision) Act 1993 (SIS Act). Subsection 56(7B) will also allow APRA to disclose information relating to enforcement action it may take against a person. This will extend not only to enforcement action taken against bodies regulated by APRA, but also to other parties, such as auditors, actuaries, custodians, investment managers etc. Such information may include a description of court proceedings taken by APRA in relation to a breach or suspected breach of legislation covered by section 56. APRA may also disclose descriptions of activities it engages in relating to such breaches or suspected breaches - examples might include details of notices or directions issued to a person by APRA, or details of investigations conducted by APRA. The item also inserts a note after subsection 56(7B) drawing attention to evidential requirements of the Criminal Code .
Note regarding the Privacy Act 1988
4.9 This item inserts a note after subsection 56(11) of the APRA Act drawing attention to the provisions of the Privacy Act 1988 relevant to personal information.
4.10 This item repeals section 57 of the APRA Act, which placed restrictions on the disclosure of documents and information not covered by section 56 of the Act. Section 57 is unnecessary as provisions of the Crimes Act 1914 prohibit the disclosure of such material without authorisation.