Corporations Act 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

Note: This Chapter applies to a CCIV in a modified form: see Division 4 of Part 8B.7 .

PART 7.3B - CRISIS RESOLUTION FOR CS FACILITY LICENSEES  

Division 9 - Other matters  

Subdivision C - Temporary suspension of termination rights  

SECTION 849BA   APPLICATION OF THIS SUBDIVISION  

849BA(1)    
This Subdivision applies to a body corporate if:

(a)    the body corporate:

(i) is a CS facility licensee; or

(ii) is a related body corporate of a CS facility licensee and is incorporated in Australia; and

(b)    a declaration under subsection (2) is in force in relation to the licensee.

849BA(2)    
For the purposes of paragraph (1)(b) , the Reserve Bank may, by notifiable instrument, declare that this Subdivision applies in relation to a CS facility licensee if the Reserve Bank intends:

(a)    to take either or both of the actions in subsection 832A(2) in relation to the CS facility licensee; or

(b)    to make a determination under section 837A that there is to be a transfer of shares in the CS facility licensee; or

(c)    to make a determination under section 837B that there is to be a transfer of business of the CS facility licensee; or

(d)    to give a direction to the CS facility licensee under subsection 840A(1) .

849BA(3)    
The Reserve Bank must revoke a declaration made under subsection (2) in relation to a CS facility licensee if:

(a)    the licensee begins to be under statutory management; or

(b)    the Reserve Bank makes the determination mentioned in paragraph (2)(b) or (c) ; or

(c)    the Reserve Bank gives the direction mentioned in paragraph (2)(d) ; or

(d)    the Reserve Bank ceases intending to do the things mentioned paragraphs (2)(a) to (d) .

Note: If paragraph (a) , (b) or (c) of this subsection applies, Division 6 (moratorium on action during statutory management or compulsory transfer) will apply in relation to the CS facility licensee.

849BA(4)    
Subsection (3) does not limit the application of subsection 33(3) of the Acts Interpretation Act 1901 in relation to a declaration in force under subsection (2) of this section.