Corporations Regulations 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

PART 7.5 - COMPENSATION REGIMES FOR FINANCIAL MARKETS  

Division 4 - NGF Compensation regime  

Subdivision 4.10 - General  

REGULATION 7.5.79   INTEREST  

7.5.79(1)   [ Interest payable]  

In addition to an amount that is payable to a person out of the Fund in respect of a claim, interest at the rate of 5% per annum or, if another rate is determined in writing by the SEGC, at that other rate, is payable to the person out of the Fund, on so much of that amount as is not attributable to costs and disbursements, in respect of the period beginning on the day on which the person became entitled to make the claim and ending on:

(a) if the SEGC has made a determination under subregulation 7.5.82(1) to pay that amount in instalments - the day on which that amount would, if no such determination had been made and the money in the Fund were unlimited, have been paid to the person; or

(b) if, because of insufficiency of the Fund, no part of that amount is paid to the person on the day on which that amount would, if the money in the Fund were unlimited, have been so paid - that day; or

(c) in any other case - the day on which that amount is paid to the person.

7.5.79(2)   [ Limits on interest payable]  

A rate of interest determined by the SEGC for subregulation (1):

(a) must not exceed the rate that, when the determination is made, is fixed by Rules of Court for the purposes of paragraph 52(2) (a) of the Federal Court of Australia Act 1976 ; and

(b) must not be less than 5% per year.

7.5.79(3)   [ Publication of rate]  

As soon as practicable after determining a rate of interest, the SEGC must publish a copy of the determination in the Gazette .

7.5.79(4)   [ Interest on unpaid amount]  

If:

(a) under subregulation (1), interest is payable to a person on an amount in respect of a period; and

(b) that amount, or a part of that amount, remains unpaid throughout a period beginning immediately after the period mentioned in paragraph (a);

interest, in addition to that amount and that interest, is payable to the person, at the rate of 5% per annum, out of the Fund on that amount, or on that part of that amount, as the case may be, in respect of that period first mentioned in paragraph (b).