Treasury Laws Amendment (Financial Services Compensation Scheme of Last Resort) Act 2023 (46 of 2023)

Schedule 1   Financial services compensation scheme of last resort

Part 1   Main amendments

Corporations Act 2001

2   At the end of Part 7.10A

Add:

Division 4 - Information sharing and reporting

1058A Authorised use or disclosure of information

(1) An AFCA staff member may use or disclose information or documents obtained by an AFCA staff member under or for the purposes of this Part if:

(a) the use or disclosure is for the purposes of:

(i) this Part; or

(ii) Part 7.10B; or

(iii) the Financial Services Compensation Scheme of Last Resort Levy Act 2023; or

(iv) the Financial Services Compensation Scheme of Last Resort Levy (Collection) Act 2023; or

(b) the use or disclosure is to the CSLR operator for the purposes of assisting the CSLR operator to perform its functions or exercise its powers.

(2) In this section:

use or disclosure , for information or documents, includes making a record of the information, disclosing the information, producing the document or permitting access to the document.

1058B AFCA reporting to CSLR operator

Notification of unpaid fees to CSLR operator

(1) AFCA must notify the CSLR operator, in writing, of AFCA's unpaid fees, for a month ending on or after the accumulation recovery day, as soon as practicable after the end of the month.

Note: The notification could include information about AFCA's unpaid fees, including whether those fees relate to pre-CSLR complaints.

(2) AFCA's unpaid fees , for a month, is the sum of each fee (however described) that:

(a) relates to one or more complaints, each of which:

(i) at the time the complaint is made, is a complaint against a person (the AFCA member ) who (at that time) is a member of the AFCA scheme; and

(ii) is a complaint about a product, or service, of a kind mentioned in subsection 1065(2); and

(iii) is a complaint that has been finalised by AFCA (including by making a determination); and

(b) AFCA has charged to the AFCA member (or would have so charged were the AFCA member still in existence); and

(c) the AFCA member has not paid to AFCA; and

(d) AFCA finished taking steps to recover on or after the accumulation recovery day and during the month, which may have included taking one or more of the following steps if AFCA considered them appropriate (or possible):

(i) seeking an explanation from the AFCA member for the AFCA member not paying the fee;

(ii) explaining to the AFCA member the consequences of not paying the fee;

(iii) discussing with the AFCA member a reasonable payment plan or other alternatives to paying the fee;

(iv) if the AFCA member is (or has become) a Chapter 5 body corporate - engaging with an officer of the Chapter 5 body corporate to assess whether the body can pay the fee to AFCA.

Note: In addition to the steps in subparagraphs (d)(i) to (iv), AFCA may take any other steps it considers appropriate and cost effective.

AFCA's accumulated unpaid fees

(3) AFCA must notify the CSLR operator, in writing, of AFCA's accumulated unpaid fees as soon as practicable after the accumulation recovery day.

(4) AFCA's accumulated unpaid fees is the sum of each fee (however described) that:

(a) relates to one or more complaints, each of which:

(i) at the time the complaint is made, is a complaint against a person (the AFCA member ) who (at that time) is a member of the AFCA scheme; and

(ii) is a complaint about a product, or service, of a kind mentioned in subsection 1065(2); and

(iii) is a complaint that has been finalised by AFCA (including by making a determination); and

(b) AFCA has charged to the AFCA member (or would have so charged were the AFCA member still in existence); and

(c) the AFCA member has not paid to AFCA; and

(d) AFCA finished taking steps to recover during the period:

(i) starting on 1 November 2018; and

(ii) ending on the day before the accumulationrecovery day;

which may have included taking one or more of the steps mentioned in subparagraphs (2)(d)(i) to (iv) of this section if AFCA considered them appropriate (or possible).