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 7.5 - COMPENSATION REGIMES FOR FINANCIAL MARKETS  

Division 4 - NGF Compensation regime  

Subdivision D - The SEGC  

SECTION 890A   MINISTER TO NOMINATE THE SEGC  

890A(1)    

Subject to subsection (3) , the Minister may nominate in writing as the Securities Exchanges Guarantee Corporation (the SEGC ) a body corporate (whenever incorporated) that is, for the purposes of the national corporate laws, a company limited by guarantee.

890A(2)    
ASIC must cause a copy of a nomination by the Minister under subsection (1) to be published in the Gazette .

890A(3)    
The Minister may only nominate a body corporate under subsection (1) if he or she is satisfied that:

(a)    

ASX Limited is a member of the body corporate; and

(b)    each of the other members of the body corporate is a market licensee; and

(c)    the body corporate ' s constitution provides that only market licensees may become or remain members of the body corporate; and

(d)    the body corporate will, if nominated under subsection (1) , be able to perform and exercise the SEGC ' s functions and powers under this Division adequately and with due regard to the interests of the public; and

(e)    the body corporate has obtained, or will within a reasonable period after being nominated under subsection (1) obtain, indemnity insurance in respect of its liabilities for:

(i) negligence in; and

(ii) defalcation, or fraudulent misuse of property, by an officer, employee or agent of the body corporate in connection with;

the performance or exercise of the SEGC ' s functions or powers under this Division, or has made or will make other satisfactory provisions for meeting those liabilities; and

(f)    the body corporate ' s business rules make satisfactory provision:

(i) for ensuring the safety of property received by the body corporate; and

(ii) generally for the protection of the interests of the public.