Retirement Savings Accounts Act 1997

PART 4 - OPERATING STANDARDS ETC. AND ANNUAL RETURNS FOR RSAs  

Division 4 - Other provisions relating to the operation of RSAs  

SECTION 42   RSA PROVIDER NOT TO BREACH CAPITAL GUARANTEE  

42(1)   [RSA prohibited acts]  

An RSA provider must not:

(a) reduce the balance of an RSA that is an account by the crediting of any negative interest; or

(b) reduce the contributions or accumulated earnings of an RSA that is a policy by negative investment returns or any reduction in the value of assets in which the policy is invested.

Penalty: 100 penalty units.

42(2)   [Strict liability]  

Subsection (1) is an offence of strict liability.

Note 1:

Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.

Note 2:

For strict liability , see section 6.1 of the Criminal Code .