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Financial Sector Reform (Amendments and Transitional Provisions) Bill (No. 1) 1999
Schedule 1 Amendment of the Australian Prudential Regulation Authority Act 1998

   

1  Subsection 3(1)

Insert:

prudential regulation or advice services means services of either or both of the following kinds:

                     (a)  services consisting of APRA performing a role in the prudential regulation or supervision of entities;

                     (b)  services consisting of APRA providing advice relating to the prudential regulation or supervision of entities.

2  Section 9

Repeal the section, substitute:

9   APRA’s functions

                   APRA has the following functions:

                     (a)  the functions conferred on it by or under this Act or any other law of the Commonwealth;

                     (b)  the functions conferred on it by or under any law of a State or Territory in accordance with subsection 9A(1);

                     (c)  the function of providing prudential regulation or advice services under agreements entered into in accordance with subsection 9A(2).

9A   Conferral of functions by State or Territory laws or by agreements

Conferral of functions by or under State or Territory laws

             (1)  APRA may have functions or powers conferred on it by or under a law of a State or Territory if the conferral of the functions or powers is in accordance with:

                     (a)  provisions of an agreement entered into by the Commonwealth and the State or Territory, being provisions approved by the Minister for the purposes of this subsection; or

                     (b)  an approval given by the Minister for the purposes of this subsection.

APRA has the functions and powers so conferred by that law.

Agreements for performance of prudential regulation or advice services

             (2)  APRA may, with the approval of the Minister, enter into an agreement with a State, Territory or other person under which APRA is, for a fee, to provide prudential regulation or advice services (whether in Australia or a foreign country). The agreement is only effective for the purposes of this Act to the extent to which APRA’s provision of the services is for a purpose or purposes within the Commonwealth’s legislative power.

Subsection (2) agreement may deal with liabilities between the parties

             (3)  An agreement entered into in accordance with subsection (2) may make provision in relation to the circumstances in which, and the extent to which, one party to the agreement is liable to the other party to the agreement in respect of matters arising under or out of the agreement.

Delegation of Minister’s power to approve subsection (2) agreement

             (4)  The Minister may, in writing, delegate the power under subsection (2) to approve the entering into of agreements to a person holding or performing the duties of a Senior Executive Service office in the Department.

3  After subsection 51(1)

Insert:

          (1A)  Subsection (1) does not apply to a fee payable to APRA under an agreement entered into in accordance with subsection 9A(2).

4  Subsection 56(1) (after paragraph (c) of the definition of Act covered by this section )

Insert:

                    (ca)  the Financial Sector (Transfers of Business) Act 1999 ;

5  Paragraph 56(5)(a)

Omit “or any other agency (including foreign agencies) specified in the regulations”, substitute “, or any other agency (including foreign agencies) specified in the regulations,”.

6  Paragraph 56(5)(b)

Omit “if the disclosure”.

7  Subsections 57(1) and (2)

Omit “or an agent or other person carrying on any business of APRA”, substitute “or an agent of APRA, a Board member or an APRA staff member,”.

8  Subsection 57(3)

After “subsection”, insert “(1) or”.

9  Section 58

Repeal the section, substitute:

58   Protection from liability

             (1)  Subject to subsection (2), APRA, a Board member, an APRA staff member, or an agent of APRA, a Board member or an APRA staff member, is not subject to any liability to any person in respect of anything done, or omitted to be done, in the exercise or performance, or the purported exercise or performance, of powers, functions or duties conferred or imposed on APRA, the Board, a Board member or an APRA staff member by or under:

                     (a)  this Act or another law of the Commonwealth; or

                     (b)  a law of a State or Territory referred to in paragraph 9(b); or

                     (c)  subject to subsection (3), an agreement referred to in paragraph 9(c).

             (2)  Subsection (1) does not apply to an act or omission in bad faith.

             (3)  Subsection (1), as it applies in relation to powers, functions or duties conferred or imposed by an agreement referred to in paragraph 9(c), has effect subject to provisions of the agreement referred to in subsection 9A(3) (which allows the agreement to deal with liabilities as between the parties).