Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
Part 1—Preliminary

Part 1 Preliminary

   

1   Short title

                   This Act is the People of Australia’s Commission of Inquiry (Banking and Financial Services) Act 2017 .

2   Commencement

             (1)  Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provisions

Commencement

Date/Details

1.  Sections 1 and 2 and anything in this Act not elsewhere covered by this table

The day this Act receives the Royal Assent .

 

2.  Sections 3 to 20

The day the Consolidated Revenue Fund is appropriated under an Act to the Treasury to fund the People of Australia’s Commission of Inquiry (Banking and Financial Services).

 

Note:          This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

             (2)  Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3   Simplified outline of this Act

This Act establishes the People of Australia’s Commission of Inquiry (Banking and Financial Services).

The Commission has the same powers as a Royal Commission.

4   Definitions

                   In this Act:

APRA means the Australian Prudential Regulation Authority.

ASIC means the Australian Securities and Investments Commission.

banking or financial services provider means an entity that provides banking or financial services including:

                     (a)  an entity that carries on a banking business (within the meaning of the Banking Act 1959 ) in Australia; and

                     (b)  an entity that carries on a financial services business (within the meaning of Chapter 7 of the Corporations Act 2001 ) in Australia; and

                     (c)  an entity that, in Australia, carries on the business of undertaking liability, by way of insurance (including reinsurance), in respect of any loss or damage, including liability to pay damages or compensation, contingent upon the happening of a specified event, including:

                              (i)  a general insurer (within the meaning of the Insurance Act 1973 ); and

                             (ii)  an entity that carries on a life insurance business (within the meaning of the Life Insurance Act 1995 ) in Australia; and

                     (d)  an entity that engages in a credit activity (within the meaning of the National Consumer Credit Protection Act 2009 ).

Commission means the People of Australia’s Commission of Inquiry (Banking and Financial Services) established under section 5.

consumer means a person to whom a banking or financial services provider provides a service in Australia.

Judge means a Judge of the High Court, of a court created by the Parliament or of the Supreme Court of a State or Territory.

Treasury means the Department administered by the Treasurer .

unethical conduct includes:

                     (a)  the generation of profits by a banking or financial services provider in a manner, or to an extent, that:

                              (i)  unreasonably disadvantages consumers, or has the potential to unreasonably disadvantage consumers; or

                             (ii)  is detrimental, or has the potential to be detrimental, to the Australian economy; and

                     (b)  the payment of remuneration packages to officers or employees of a banking or financial services provider that:

                              (i)  do not reflect the value of the work done by those officers or employees for the provider; or

                             (ii)  do not reflect the value of the contribution of those officers or employees to the service provided by the provider to consumers; or

                            (iii)  are detrimental, or have the potential to be detrimental, to the Australian economy; or

                            (iv)  are detrimental, or have the potential to be detrimental, to consumers; and

                     (c)  the adoption of business practices that:

                              (i)  unreasonably disadvantage consumers, or have the potential to unreasonably disadvantage consumers; or

                             (ii)  are detrimental, or have the potential to be detrimental, to the Australian economy; and

                     (d)  any other unethical conduct.

unlawful conduct includes:

                     (a)  conduct that constitutes an offence under a law of the Commonwealth, or of a State or Territory; and

                     (b)  conduct that constitutes a contravention of a civil penalty provision under a law of the Commonwealth, or of a State or Territory; and

                     (c)  conduct that would attract any other penalty under a law of the Commonwealth, or a State or Territory, including a breach of a standard or licence condition; and

                     (d)  conduct that is not in accordance with duties under the general law, including duties in equity.