Corporations Regulations 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

PART 7.5 - COMPENSATION REGIMES FOR FINANCIAL MARKETS  

Division 5 - Provisions common to both kinds of compensation arrangements  

REGULATION 7.5.92   USE OF EXCESS MONEY FROM FIDELITY FUND  

7.5.92(1)   [ Permitted uses]  

A market licensee that receives a payment of excess money from a fidelity fund must use the money only:


(a) for a purpose approved under subregulation 7.5.88(1) , and in accordance with any conditions to which the use of the money is subject under subregulation 7.5.88(3) ; or


(b) in accordance with subregulation (3); or


(c) to make a repayment to the fidelity fund.

7.5.92(2)   [ Contravention]  

If the market licensee contravenes subregulation (1), the market licensee must repay the amount involved into its financial industry development account.

7.5.92(3)   [ No immediate requirement to use]  

If there is no immediate requirement for the market licensee to use an amount of excess money in its financial industry development account:


(a) the market licensee may invest the amount in a way authorised by section 892C of the Act; and


(b) if the market licensee invests excess money during a financial year, the market licensee must pay any interest or profit from the investment into its financial industry development account.

7.5.92(4)   [ Lodgment of Form 719]  

The market licensee must, in respect of each financial year during which, at any time, there is money in its financial industry development account, lodge a completed Form 719 with ASIC not later than 3 months after the end of the financial year.




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