Superannuation Industry (Supervision) Regulations 1994

PART 6 - PAYMENT STANDARDS  

Division 6.1 - Introductory  

Subdivision 6.1.5 - Miscellaneous  

REGULATION 6.16   REDISTRIBUTION OF MEMBER BENEFITS WITHIN A FUND IN CERTAIN CIRCUMSTANCES BY OPERATION OF GOVERNING RULES OR ACTION OF TRUSTEE  

6.16(1)   [Categories of benefits]  

For the purpose of subregulation (2), the following are categories of benefits:

(a) preserved benefits, as defined in Subdivision 6.1.2 ;

(b) restricted non-preserved benefits, as defined in Subdivision 6.1.3 ;

(c) unrestricted non-preserved benefits, as defined in Subdivision 6.1.4 .

6.16(2)   [Limits to effects on member ' s benefits]  

For the purposes of this Part, the governing rules of a fund, or the trustee of a fund, may alter the category of any of a member ' s benefits in the fund but, subject to subregulation (3), not so as to:

(a) decrease the amount of the member ' s preserved benefits in the fund; or

(b) increase the amount of the member ' s unrestricted non-preserved benefits in the fund.

6.16(3)   [Trustee may alter category of benefits]  

The trustee may alter the category of benefits in a fund from preserved benefits to unrestricted non-preserved benefits if:

(a) before the commencement of regulation 6.15A and during the transitional period of the fund, there arose in relation to the benefits a circumstance that would have resulted in the satisfaction of a condition of release and a ' Nil ' cashing restriction if these regulations applied; or

(b) before the commencement of regulation 6.15A , both:

(i) the benefits were rolled over or transferred to the fund from:

(A) a superannuation fund ( Fund A ) during its transitional period; or

(B) a regulated superannuation fund or an approved deposit fund to which the benefits were rolled over or transferred from a superannuation fund ( Fund B ) during its transitional period; and

(ii) the trustee is reasonably satisfied that:

(A) during the transitional period of Fund A or Fund B, there arose in relation to the benefits a circumstance that would have resulted in the satisfaction of a condition of release and a ' Nil ' cashing restriction if these regulations applied; or

(B) before the benefits were rolled over or transferred to Fund A or Fund B from a regulated superannuation fund or an approved deposit fund, the relevant cashing restriction set out in Schedule 1 in respect of the benefits was ' Nil ' .