Banking Act 1959

Part II - Provisions relating to the carrying on of banking business  

Division 2AA - Financial claims scheme for account-holders with insolvent ADIs  

Subdivision D - Administration  

SECTION 16AJ   Requiring assistance  

(1)    
APRA may, by written notice given to any of the following persons, require the person to give APRA such reasonable assistance in the performance of its functions, and the exercise of its powers, under this Division as is specified:

(a) an ADI (whether or not it is a declared ADI);

(b) an administrator appointed under subsection 13A(1) to take control of an ADI ' s business;

(c) a liquidator appointed in connection with the winding up, or proposed winding up, of an ADI.

Note:

APRA may amend or vary the requirement in writing: see subsection 33(3) of the Acts Interpretation Act 1901 .

(2)    

Without limiting subsection (1), APRA may require a liquidator to assist APRA in APRA ' s function of paying account holders their entitlements under Subdivision C .

(3)    

For example, APRA may, by notice issued under subsection (1), require the liquidator to do the things specified in the notice, including:

(a) carrying on the business of the ADI so far as necessary, or doing any other act or thing, to facilitate APRA ' s payment to account holders in accordance with Subdivision C ; or

(b) seeking the re-entry of the ADI into a payment system (as defined in section 7 of the Payment Systems (Regulation) Act 1998 ); or

(c) transferring the entitlements of account holders to accounts held by the account holders in another ADI.

(4)    

The liquidator must give compliance with a notice issued under subsection (1) precedence over the other aspects of winding up the ADI, including any requirements under the Corporations Act 2001 .

(5)    

However, the liquidator is not required to comply with a notice issued under subsection (1) unless there is sufficient available property to meet the liquidator ' s costs likely to be incurred in complying with the notice in full, unless APRA indemnifies the liquidator for those costs.

(6)    

The liquidator has the powers that are necessary or convenient to comply with a notice issued under subsection (1).

(7)    

The liquidator ' s costs of complying with a notice issued under subsection (1) are expenses properly incurred by a relevant authority for the purposes of section 556 of the Corporations Act 2001 .

(8)    

A reference in this section to a liquidator ' s costs includes:

(a) remuneration, or fees for services, payable to the liquidator for complying with a notice issued under subsection (1); and

(b) expenses incurred by the liquidator in complying with a notice issued under subsection (1).

(9)    
(Repealed by No 10 of 2018)