Corporations Act 2001

CHAPTER 10 - TRANSITIONAL PROVISIONS  

PART 10.2 - TRANSITIONAL PROVISIONS RELATING TO THE FINANCIAL SERVICES REFORM ACT 2001  

Division 1 - Transitional provisions relating to the phasing-in of the new financial services regime  

Subdivision C - Treatment of existing clearing and settlement facilities  

SECTION 1424A   TREATMENT OF UNREGULATED CLEARING AND SETTLEMENT FACILITIES OPERATED BY HOLDERS OF OLD CORPORATIONS ACT APPROVALS  

1424A(1)   [ Application]  

This section applies in relation to a clearing and settlement facility if:

(a) the facility was being operated immediately before the FSR commencement by a body corporate in relation to which an approval under section 1131 of the old Corporations Act was in force at that time; but

(b) the services provided by the facility as so operated were not such that section 1128 of the old Corporations Act required the operator to be so approved.

1424A(2)   [ ``unregulated services''; ``regulated services'']  

In this section:

(a) a reference to the unregulated services is a reference to the services referred to in paragraph (1)(b); and

(b) a reference to regulated services is a reference to services that, if they had been provided by the facility immediately before the commencement, would have been services to which section 1128 of the old Corporations Act applied.

1424A(3)   [ No operation before FSR commencement]  

For the purposes of section 1425 (as it operates of its own force, rather than because of section 1424), the facility is not to be regarded as a facility that was being operated immediately before the FSR commencement.

1424A(4)   [ Proposal to provide regulated services]  

If the operator has, before the FSR commencement, indicated an intention that they propose to extend the services provided by the facility so that they also cover regulated services:

(a) regulations made for the purposes of subsection 1424(1) may identify the facility as a proposed clearing and settlement facility, but only in relation to those regulated services; and

(b) if they do so, section 1424, and section 1425 as it applies because of section 1424, apply in relation to the facility and those regulated services as if the facility did not already provide the unregulated services.