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Australian Securities and Investments Commission Bill 2001

Part 8 Finance

Division 1 General

133   Payments to ASIC by Commonwealth

             (1)  There is to be paid to ASIC such money as is appropriated by the Parliament for the purposes of ASIC.

             (2)  The Minister for Finance may give directions about the amounts in which, and the times at which, money payable under subsection (1) is to be paid to ASIC.

134   ASIC’s money

                   ASIC’s money consists of:

                     (a)  money paid to ASIC under subsection 133(1); and

                     (b)  any other money paid to ASIC (including money paid by a State or Territory, but not including money received by ASIC on behalf of a State or Territory in the course of performing functions or exercising powers pursuant to an agreement or arrangement entered into under subsection 11(8)).

135   How ASIC’s money to be applied

             (1)  ASIC’s money may be applied only:

                     (a)  in paying or discharging expenses, charges, obligations or liabilities that:

                              (i)  ASIC; or

                             (ii)  the Panel; or

                            (iii)  the Disciplinary Board; or

                            (iv)  the AASB;

                            incurs or undertakes in connection with performing or exercising any of its functions and powers; or

                     (b)  in paying remuneration or allowances payable under this Act (other than remuneration or allowances payable to members of CASAC); or

                     (c)  in connection with the provision, in accordance with subsection 112(2), of benefits to members; or

                     (d)  in connection with the provision, in accordance with subsection 114(4), of superannuation benefits; or

                     (e)  in making, in respect of a full-time member who is not an eligible employee, contributions under a superannuation or retirement scheme, however established.

             (2)  Nothing in subsection (1) limits the generality of anything else in that subsection.

             (3)  Subsection (1) does not prevent investment of surplus money of ASIC under section 18 of the Commonwealth Authorities and Companies Act 1997 .

             (4)  This section and subsection 18(3) of the Commonwealth Authorities and Companies Act 1997 have effect subject to a provision that the corporations legislation (other than the excluded provisions) makes about money or property that vests in ASIC under such a law.

             (5)  The Minister may by writing require ASIC to pay to the Commonwealth so much of ASIC’s money as:

                     (a)  is not immediately required for the purposes of ASIC; and

                     (b)  does not exceed a specified amount.

             (6)  ASIC must comply with a requirement under subsection (5) and must realise so much of the property in which money has been invested under subsection 18(3) of the Commonwealth Authorities and Companies Act 1997 as is necessary in order to so comply.

             (7)  Money paid by ASIC to the Commonwealth under subsection (5) forms part of the Consolidated Revenue Fund.

137   Limitation on contracts and leases

             (1)  Except as otherwise provided by the regulations, ASIC must not, without the approval of the Minister:

                     (a)  enter into a contract under which ASIC is to pay or receive an amount exceeding $250,000 or, if a higher amount is prescribed, that higher amount; or

                     (b)  enter into a lease of land for a period exceeding 10 years.

             (2)  In paragraph (1)(a):

contract does not include an agreement entered into under subsection 120(3) or 121(1) or an agreement entered into in the exercise of a power conferred by subsection 18(3) of the Commonwealth Authorities and Companies Act 1997 .

138   Extra matters to be included in annual report

             (1)  A report on ASIC under section 9 of the Commonwealth Authorities and Companies Act 1997 must:

                     (a)  describe the specific goals ASIC has pursued, and the priorities it has followed, during the year, in performing its functions and pursuing the objects referred to in subsection 1(2); and

                     (b)  describe what progress ASIC has made during that year towards achieving those goals; and

                     (c)  describe any matters that, during that year, have adversely affected ASIC’s effectiveness or have hindered ASIC in pursuing any of those goals and objectives; and

                     (d)  describe the performance indicators used by ASIC and ASIC’s performance against those indicators.

             (2)  The report must also set out information about the exercise during the year of ASIC’s powers under Part 15 of the Retirement Savings Accounts Act 1997 and under Part 29 of the Superannuation Industry (Supervision) Act 1993 .

             (3)  In relation to ASIC’s functions under the Insurance (Agents and Brokers) Act 1984 , the report must include information about:

                     (a)  the number of persons registered by ASIC for the time being as foreign insurance agents, life insurance brokers or general insurance brokers, respectively; and

                     (b)  any suspensions or cancellations effected by ASIC under section 25 or 31H of that Act during the period to which the report relates; and

                     (c)  any prosecutions for offences against that Act during that period; and

                     (d)  any insolvency of an insurance intermediary that came to ASIC’s notice during that period; and

                     (e)  any other matters (if any) as are prescribed.

             (4)  In relation to ASIC’s functions under subsection 12FA(1), the report must include information about ASIC’s monitoring and promotion of market integrity and consumer protection in relation to:

                     (a)  the Australian financial system; and

                     (b)  the provision of financial services.

139   Liability to taxation

             (1)  Subject to subsection (2), ASIC is not subject to taxation under:

                     (a)  a law of the Commonwealth (other than a law imposing sales tax, the Debits Tax Act 1982 or the Fringe Benefits Tax Act 1986 ); or

                     (b)  a law of a State or Territory.

             (2)  The regulations may provide that subsection (1) does not apply in relation to taxation under a specified law.


Division 2 Trust property

140   ASIC may accept property on trust

                   ASIC may accept gifts, bequests and devises made to ASIC on trust and may act as trustee of money or other property vested in ASIC on trust.

141   Trust money to be paid into bank account

                   ASIC must ensure that trust money is paid into an account or accounts:

                     (a)  maintained by ASIC under subsection 18(2) of the Commonwealth Authorities and Companies Act 1997 ; and

                     (b)  containing only trust money.

142   How trust property to be applied

             (1)  Notwithstanding section 135, money or other property that ASIC holds on trust must be applied or dealt with in accordance with ASIC’s powers and duties as trustee, and not otherwise.

             (2)  Money that ASIC holds on trust may be invested in any manner in which:

                     (a)  the terms of the trust authorise ASIC to invest the money; or

                     (b)  a law in force in a State or internal Territory authorises trustees to invest trust funds.