Building Societies Act Amendment Act 1987 (Qld)

40 ANNO TRICESIMO SEXTO ELIZABETHAE SECUNDAE REGINAE No®7 1987 An Act to amend the BuildingSocieties Act 1985-1986 in certain particulars [ASSENTED TO 15TH APRIL, 1987]

Building Societies Act Amendment Act 1987, No. 7 41 BE IT ENACTED by the Queen's Most Excellent Majesty, by and with the advice and consent of the Legislative Assembly of Queensland in Parliament assembled, and by the authority of the same, as follows:- 1. Short title . This Act may be cited as the Building Societies Act Amendment Act 1987. 2. Commencement . (1) Section 1 and this section shall commence on the day on which this Act is assented to for and on behalf of Her Majesty. (2) Except as provided by subsection (1), this Act or the provisions thereof specified in the Proclamation shall commence on the day or days appointed by Proclamation for the commencement of this Act or, as the case may be, those provisions. 3. Principal Act and citation as amended . (1) In this Act the BuildingSocieties Act 1985-1986 is referred to as the Principal Act. (2) The Principal Act as amended by this Act may be cited as the Building Societies Act 1985-1987. 4. Amendment of s. 3. Arrangement of Act. Section 3 of the Principal Act is amended by inserting after the expression "PART IX- CONTINGENCY FUND AND COMMITTEE (ss.134-154);" the expression "PART IXA-FOREIGN BUILDING SOCIETIES (ss. 154A- 154K);". 5. Amendment of s. 4. Interpretation . Section 4 of the Principal Act is amended by- (a) in subsection (1)- (i) inserting after the definition "Court" the following definition:- "declared law" means a law of another State or of a Territory, being a law in respect of which a declaration referred to in subsection (5) is in force;"; (ii) inserting after the definition "executive officer" the following definition:- "foreign building society" means a building society formed and registered or deemed to be formed and registered under a declared law;"; (b) adding at the end of the section the following subsection:- "(5) The Governor in Council may by Order in Council declare a law of another State or of a Territory to be a declared law for the purpose of this Act and may by Order in Council vary or revoke such a declaration.".

42 Building Societies Act Amendment Act 1987, No. 7 6. Amendment of s. 7. Application of Companies ( Queensland) Code. Section 7 of the Principal Act is amended by- (a) in subsection (1), inserting after the words "building societies" the expression ", or foreign building societies registered under Part IXA"; (b) in subsection (2), omitting the first paragraph and substituting the following paragraph:- "The provisions of section 169 of the Companies (Queensland) Code apply to building societies and foreign building societies registered under Part IXA except in respect of the issuing of their own shares or, insofar as a particular building society, or foreign building society registered under Part IXA, and a particular prescribed interest are concerned, where the Governor in Council by Order in Council directs that those provisions do not apply to the building society or, as the case may be, foreign building society in respect of the particular prescribed interest."; (c) in subsection (3), inserting after the words "building societies" the expression ", or foreign building societies registered under Part IXA". 7. New s. 27A. The Principal Act is amended by inserting after section 27 the following section:- "27A. Use of words "building society". (1) Subject to this section, no person or body of persons, whether incorporated or unincorporated, other than a building society, or a foreign building society registered under Part IXA, shall- (a) trade or carry on business, which expression shall, without limiting the generality thereof, include- (i) the establishing or using of an office for the receipt of share capital, deposits or loan funds; (ii) advertising for or otherwise seeking share capital, deposits or loan funds; or (iii) the making of loans to persons residing in the State, whether by servants or agents or otherwise, under any name or title of which the words "building society" or the words "building societies" or any other words importing a similar meaning, form part; or (b) in any manner hold out that its trade or business is respectively that of a building society, or a foreign building society registered under Part IXA. (2) Subsection (1) does not apply to a foreign building society for the period of one month after it commences to trade or carry on business in the State.

Building Societies Act Amendment Act 1987, No. 7 43 (3) For the purposes of subsection (2), a foreign building society which immediately before the date of commencement of this section was trading or carrying on business in the State and, on that date, continues to trade or carry on business in the State shall be deemed to have commenced to trade or carry on business in the State on that date. (4) Any society or corporation formed or incorporated outside the State (other than a foreign building society) that desires to trade or carry on business in the State may apply in the prescribed form to the Registrar for exemption from the provisions of subsection (1) and that subsection shall not apply to any such society or corporation in respect of which the Registrar has granted exemption, while that exemption subsists. (5) The Registrar may grant an exemption for the purposes of subsection (4) for such time and upon such conditions as he thinks fit and may revoke the exemption or vary the conditions. (6) The Registrar shall not grant an exemption for the purposes of subsection (4) unless he is satisfied that the society or corporation will be able to trade or carry on business in the State in accordance with the principles contained in this Act for the carrying on of the business of a building society. (7) Any person contravening this section and, in the case of a corporation or an unincorporated body of persons contravening this section, any director or other person having the control and management of the affairs of the corporation or body of persons contravening, are each guilty of an offence. Penalty: 20 penalty units or imprisonment for 3 months, or both.". 8. Amendment of s. 43. Investment of funds. Section 43 of the Principal Act is amended by- (a) omitting paragraph ( h) of subsection ( 1) and substituting the following paragraph: "(h) in the purchase on the secondary mortgage market to which the Mortgages (Secondary Market) Act 1984- 1985 applies of secondary mortgage market securities that, pursuant to section 34 of that Act, are securities in which a trustee may invest trust funds;"; (b) in paragraph ( ii) of subsection ( 3), omitting the words " assessed and paid or assessed and payable ( whichever is the less)" and substituting the words " paid or payable". 9. Amendment of s. 53. Raising of money. Section 53 of the Principal Act is amended by omitting paragraph ( c) of subsection (1) and substituting the following paragraph:- "(c) raise money on the secondary mortgage market to which the Mortgages(Secondary Market) Act 1984- 1985 applies by selling secondary mortgage market securities that , pursuant

44 Building Societies Act Amendment Act 1987, No. 7 to section 34 of that Act, are securities in which a trustee may invest trust funds,". 10. Amendment of s. 54 . Application of Companies (Queensland) Code in relation to charges by building societies . Section 54 of the Principal Act is amended by- (a) in the note appearing in and at the beginning of the section, inserting after the word " societies " the words ", etc"; (b) in subsection (1), inserting after the word "society" the words ", or a foreign building society registered under Part IXA"; (c) in subsection (2)- (i) omitting the word "and" following paragraph (a); (ii) in paragraph (b), omitting the words "society." and substituting the words "society;"; (iii) adding after paragraph (b) the following word and paragraph:- "and (c) a reference in any of those provisions to a registered foreign company shall be construed as a reference to a foreign building society registered under Part IXA.". 11. Amendment of s. 55. Liquidity . Section 55 of the Principal Act is amended by adding at the end of subsection (2) the following paragraph:- "In this subsection- "other borrowings" in relation to a building society, does not include money received on deposit by the building society.". 12. Amendment of s. 67. Vacation of off ice. Section 67 of the Principal Act is amended by, in paragraph (b) of subsection (1), omitting the expression "Mental Health Act 1974-1978" and substituting the expression "Mental Health Services Act 1974-1984". 13. Amendment of s. 87. Special resolution . Section 87 of the Principal Act is amended by, in paragraph (a) of subsection (1), omitting the words "or, where proxies are allowed, by proxy". 14. Amendment of s. 95. Directors ' reports. Section 95 of the Principal Act is amended by, in subsection (6), omitting the expression "100" and substituting the expression "198". 15. Amendment of s. 102. Failure to comply with this Division. Section 102 of the Principal Act is amended by, in subsection (1), inserting after the word "members" the words ", depositors". 16. Amendment of s. 103. Qualifications of auditors . Section 103 of the Principal Act is amended by, in paragraph (d) of subsection (1),

Building Societies Act Amendment Act 1987, No. 7 45 inserting after the word "auditor" the words "who is ordinarily resident in Queensland". 17. Amendment of s. 113. Auditors and other persons to enjoy qualified privilege in certain circumstances . Section 113 of the Principal Act is amended by, in subsection (2)- (a) omitting the words "or furnished to" (where twice occurring); (b) omitting the words "lodged or furnished" and substituting the word "lodged". 18. Amendment of s. 117. Disputes. Section 117 of the Principal Act is amended by, in paragraph (c) of subsection (4), omitting the expression "(6),". 19. Amendment of s. 120 . Transfer of engagements by direction of Registrar . Section 120 of the Principal Act is amended by, in subsection (3), omitting all words from and including the words "and unless," to and including the words "the certificate". 20. Amendment of s. 124. Appointment of an administrator . Section 124 of the Principal Act is amended by- (a) in paragraph (d) of subsection (4), omitting the word "appointment" and substituting the word "appointments"; (b) in subparagraph (ii) of paragraph (b) of subsection (7), inserting after the word "members" the words ", depositors"; (c) in subsection (10)- (i) inserting the word "or" following the words "rules;" in paragraph (b); (ii) omitting the expression ";" where it occurs at the end of paragraph (c) and substituting the expression " ."; (iii) omitting the word "or" where it occurs following paragraph (c); (iv) omitting paragraph (d). 21. Amendment of s. 129. Application of Companies ( Queensland) Code where receiver etc., appointed . Section 129 of the Principal Act is amended by omitting subsections (1) and (2) and substituting the following subsections:- "(1) The provisions of Part X of the Companies (Queensland) Code shall, subject to this Part, mutatis mutandis and with such modifications (if any) as may be prescribed apply- (a) to a receiver, and receiver and manager, of the property or part of the property of a building society or of the property, or part of the property, within the State of a foreign building society registered under Part IXA; and (b) in respect of a building society, and a foreign building society registered under Part IXA.

46 Building Societies Act Amendment Act 1987, No. 7 (2) In the application of the provisions of Part X of the Companies (Queensland) Code pursuant to subsection (1), unless a contrary intention appears, any reference in those provisions- (a) to the Commission shall be construed as a reference to the Registrar; (b) to a company shall be construed as a reference to a building society; (c) to a registered foreign company shall be construed as a reference to a foreign building society registered under Part IXA; (d) to a corporation shall be construed as a reference to a building society, and a foreign building society registered under Part IXA.". 22. Amendment of s. 137. Contributions and loans. Section 137 of the Principal Act is amended in the first paragraph of subsection (2) by- (a) redesignating provisions (a) and (b) as provisions (c) and (d) respectively; (b) omitting the expression "calculated at a rate of 0.25 per centum per annum (or such other rate as is fixed by Order in Council) on the daily balances" and substituting the following expression:- "calculated- (a) where a rate is fixed by Order in Council-at that rate; or (b) where a rate is not so fixed-at a rate of 0.25 per centum per annum, on the daily balances". 23. Amendment of s. 141. Term of office. Section 141 of the Principal Act is amended by, in subsection (1), omitting the word "be" and substituting the words "not exceed". 24. Amendment of s. 142 . Vacation of office . Section 142 of the Principal Act is amended by, in subsection (3), omitting the word "exericse" and substituting the word "exercise". 25. Amendment of s. 143. Disqualification from office . Section 143 of the Principal Act is amended by, in paragraph (c), omitting the expression "Mental Health Act 1974-1978" and substituting the expression "Mental Health Services Act 1974-1984". 26. New Part IXA. The Principal Act is amended by inserting the following heading and sections after section 154:- "PART IXA-FOREIGN BUILDING SOCIETIES 154A. Application and interpretation of this Part . (1) Except where the contrary intention appears, this Part applies to a

Building Societies Act Amendment Act 1987, No. 7 47 foreign building society only if it has a place of business or is carrying on business within the State. (2) In this Part, unless the contrary intention appears- "agent" means the person named in a memorandum of appointment or power of attorney lodged under section 154C (1) (e) or (8); "carrying on business" includes- (a) establishing or using a share transfer or share registration office; (b) establishing or using an office for the receipt of share capital, deposits or loan funds; (c) advertising for or otherwise seeking share capital, deposits or loan funds; or (d) making loans to persons residing in the State, whether by servants or agents or otherwise and "to carry on business" has a corresponding meaning. (3) Notwithstanding subsection (2), a foreign building society shall not be regarded as carrying on business within the State for the reason only that within the State it- (a) is or becomes a party to any action or suit or any administrative or arbitration proceeding or effects settlement of an action, suit or proceeding or of any claim or dispute; (b) holds meetings of its directors or shareholders or carries on other activities concerning its internal affairs; (c) maintains any bank account; (d) effects any sale through an independent contractor; (e) creates evidence of any debt or creates a charge on property; (f) secures or collects any of its debts or enforces its rights in regard to any securities relating to such debts; (g) conducts an isolated transaction that is completed within a period of 31 days, but not being one of a number of similar transactions repeated from time to time; or (h) invests any of its funds or holds any property. 154B . Power of foreign building societies to hold land. A foreign building society registered under this Part has power to hold land in the State. 154C. Documents , etc., to be lodged by foreign building societies having place of business in the State. (1) Every foreign

48 Building Societies Act Amendment Act 1987, No. 7 building society shall within one month after it establishes a place of business or commences to carry on business within the State, lodge with the Registrar for registration- (a) a certified copy of the certificate of its incorporation or registration in its place of incorporation or origin or a document of similar effect; (b) a certified copy of its rules or other instrument constituting or defining its constitution; (c) a list of its directors containing similar particulars with respect to its directors as are by this Act required to be contained in the register of the directors of a building society formed and registered under this Act; (d) where the list includes directors resident in the State who are members of the local board of directors, a memorandum duly executed by or on behalf of the foreign building society stating the powers of the local directors; (e) a memorandum of appointment or power of attorney under the seal of the foreign building society or executed on its behalf in such manner as to be binding on the building society and, in either case , verified in the prescribed manner , stating the name and address of one or more persons resident in this State (not including a body corporate incorporated outside the State ) authorized to accept on its behalf service of process and any notices required to be served on the building society; (f) notice of the situation of its registered office in the State; (g) notice of the situation of its registered office in its place of incorporation or origin; and (h) a statutory declaration in the prescribed form made by the agent of the building society, and the Registrar shall register the building society under this Part by registration of the documents. (2) Where a memorandum of appointment or power of attorney lodged with the Registrar in pursuance of paragraph (e) of subsection (1) is executed by a person on behalf of the foreign building society, a copy of the deed or document by which that person is authorized to execute the memorandum of appointment or power of attorney, verified by statutory declaration in the prescribed manner, shall be lodged with the Registrar and the copy shall for all purposes be regarded as an original. (3) Subsection (1) applies to a foreign building society which immediately before the date of commencement of this Part, had a place of business or was carrying on business within the State

Building Societies Act Amendment Act 1987, No. 7 49 and, on that date, has a place of business or is carrying on business within the State, as if it established that place of business or commenced to carry on that business on that date. (4) A foreign building society shall have a registered office within the State to which all communications and notices may be addressed. (5) An agent, until he ceases to be such in accordance with subsection (7)- (a) continues to be the agent of the foreign building society; (b) is answerable for the doing of all such acts, matters and things, as are required to be done by the foreign building society by or under this Act; and (c) is personally liable to all penalties imposed on the foreign building society for any contravention of any of the provisions of this Act unless he satisfies the court hearing the matter that he should be not so liable. (6) A foreign building society or its agent may lodge with the Registrar a notice in writing stating that the agent has ceased to be the agent or will cease to be the agent on a date specified in the notice. (7) The agent in respect of whom the notice has been lodged ceases to be an agent on the expiration of a period of 21 days after the date of lodgement of the notice or on the date of the appointment of another agent the memorandum of whose appointment has been lodged in accordance with subsection (8) whichever is the earlier, but if the notice states a date on which he is to so cease and the date is later than the expiration of that period, on that date. (8) Where an agent ceases to be the agent and the foreign building society is then without an agent in the State then if the foreign building society continues to carry on business or has a place of business in the State it shall, within 21 days after the agent ceases to be such, appoint an agent and lodge a memorandum of his appointment and a statutory declaration in accordance with subsection (1) and if not already lodged in pursuance of subsection (2) a copy of the deed or document or power of attorney referred to in that subsection verified in accordance with that subsection. (9) On the registration of a foreign building society under this Part or the lodging with the Registrar of particulars of a change or alteration in a matter referred to in paragraph (c), (d) or (f) of section 154D, the Registrar shall issue a certificate in the prescribed form under his hand and seal which certificate shall be prima facie evidence in all courts of the particulars mentioned in the certificate.".

50 Building Societies Act Amendment Act 1987, No. 7 27. New ss. 154D, 154E and 154F . The Principal Act is amended by inserting the following sections after section 154C:- "154n. Return to be filed where documents , etc., altered. (1) Where any change or alteration is made in- (a) the rules of the foreign building society or other instrument lodged with the Registrar; (b) the directors of the foreign building society; (c) the agent or agents of the foreign building society or the address of any agent; (d) the situation of the registered office of the foreign building society in the State; (e) the address of the registered office of the foreign building society in its place of incorporation or origin; (f) the name of the foreign building society; or (g) the powers of any directors resident in the State who are members of the local board of directors of the foreign building society, the foreign building society shall within one month after the change or alteration lodge with the Registrar in the prescribed form particulars of the change or alteration and such documents as the regulations require. ` (2) Subject to section 1541 (2), the Registrar may register any change or alteration in the name of a foreign building society particulars of which have been lodged with him pursuant to subsection (1). 154E. Balance sheets . (1) Subject to this section a foreign building society shall, within the period of 4 months or such extended period as the Registrar may allow in special circumstances, next after the end of each financial year of the building society, lodge with the Registrar a copy of its financial statements made up to the end of its last financial year in such form and containing such particulars and including copies of such documents as the building society is required to prepare by the law for the time being applicable to that building society in the place of its incorporation or origin, together with a statutory declaration in the prescribed form verifying that the copies are true copies of the documents so required. (2) The Registrar may, if he is of the opinion that the financial statements and other documents referred to in subsection (1) do not sufficiently disclose the foreign building society's financial position, require the building society to lodge a financial statement within such period, in such form and containing such particulars and including such documents as the Registrar by notice in writing to the building society requires, but this subsection does not authorize the Registrar to require a financial statement to contain any particulars or include any documents that would

Building Societies Act Amendment Act 1987, No. 7 51 not be required to be furnished if the building society were a building society formed and incorporated under this Act. (3) The foreign building society shall comply with the requirements set out in the notice. (4) Where a foreign building society is not required by the law of the place of its incorporation or origin to prepare a financial statement the building society shall prepare and lodge with the Registrar a financial statement within such period, in such form and containing such particulars and including such documents as the building society would have been required to prepare if the building society were a building society formed and incorporated under this Act. 154F. Publication of name, etc., of foreign building society. (1) There shall appear in legible characters on every relevant document of a foreign building society that is issued, signed or published in the State- (a) the name of the foreign building society and the place where it is formed or incorporated; and (b) in the case of a foreign building society the liability of the members of which is limited (unless the last word of its name is the word "Limited" or the abbreviation "Ltd."), notice of the fact that the liability of its members is limited, and if default is made in complying with this subsection, the foreign building society is guilty of an offence. (2) There shall appear in legible characters on every relevant negotiable instrument of a foreign building society that is issued or signed in the State the name of the foreign building society and if default is made in complying with this subsection, the foreign building society is guilty of an offence. (3) If an officer of a foreign building society or any other person- (a) on behalf of the foreign building society, issues or publishes in the State, or authorizes the issue or publication in the State of, any relevant document of the foreign building society that does not comply with the requirements of subsection (1); or (b) signs or issues in the State, or authorizes to be signed or issued in the State, on behalf of the foreign building society, any relevant negotiable instrument that does not comply with the requirements of subsection (2), he is guilty of an offence. (4) If an officer of a foreign building society, or any other person, signs or issues in the State, or authorizes to be signed or issued in the State, on behalf of the foreign building society,

52 Building Societies Act Amendment Act 1987, No. 7 any relevant negotiable instrument that does not comply with the requirements of subsection (2), he is liable to the holder of the relevant negotiable instrument for the amount due on it unless that amount is paid by the foreign building society. (5) A foreign building society shall paint or affix and keep painted or affixed on the outside of every office or place in the State in which its business is carried on, in a conspicuous position and in letters easily legible- (a) its name and the place where it is formed or incorporated; (b) in the case of a foreign building society the liability of the members of which is limited (unless the last word of its name is the word "Limited" or the abbreviation "Ltd."), notice of the fact that the liability of its members is limited; and (c) in the case of the office that is its registered office in the State, the words "Registered Office", and if default is made in complying with this subsection the foreign building society is guilty of an offence. (6) In this section- "relevant document" in relation to a foreign building society, means a business letter, statement of account, invoice, receipt, order for goods, order for services, official notice or publication of, or purporting to be issued or signed by or on behalf of, the foreign building society; "relevant negotiable instrument" in relation to a foreign building society , means a bill of exchange, promissory note, cheque or other negotiable instrument, indorsement on, or order in, a bill of exchange, promissory note, cheque or other negotiable instrument, or a letter of credit of, or purporting to be issued or signed by or on behalf of, the foreign building society.". 28. New ss. 154G , 154H and 1541. The Principal Act is amended by inserting the following sections after section 154F:- "154G. Service of notice . A document required to be served on a foreign building society shall be sufficiently served- (a) if addressed to the foreign building society and left at or sent by post to its registered office in the State; or (b) if addressed to an agent of the foreign building society and left at or sent by post to the registered address of the agent.

Building Societies Act Amendment Act 1987, No. 7 - 53 154H. Cesser of business in the State . (1) If a foreign building society ceases to have a place of business or to carry on business in the State it shall, within 7 days after so ceasing , lodge with the Registrar in the prescribed form notice of that fact and, as from the day on which the notice is so lodged, its obligation to lodge any document (not being a document that ought to have been lodged before that day) with the Registrar shall cease and the Registrar shall, upon the expiration of 12 months after the lodging of the notice, remove the name of that foreign building society from the register. (2) If a foreign building society goes into liquidation or is dissolved in its place of incorporation or origin- (a) each person who immediately prior to the commencement of the liquidation proceedings or the dissolution was an agent shall, within one month after the commencement of the liquidation or the dissolution or within such further time as the Registrar in special circumstances allows, lodge or cause to be lodged with the Registrar notice of that fact and, when a liquidator is appointed, notice of such appointment; and (b) the liquidator shall, until a liquidator for the State is duly appointed by the Court, have the powers and functions of a liquidator for the State. (3) A liquidator of a foreign building society appointed for the State by the Court or a person exercising the powers and functions of such a liquidator- (a) shall, before any distribution of the foreign building society's assets is made, by advertisement in a newspaper circulating generally in each State or Territory where the foreign building society had been carrying on business prior to the liquidation if no liquidator has been appointed for that place, invite all creditors to make their claims against the foreign building society within a reasonable time prior to the distribution; (b) shall not, without obtaining an order of the Court, pay out any creditor to the exclusion of any other creditor of the foreign building society; (c) shall, unless otherwise ordered by the Court, only recover and realise the assets of the foreign building society in the State and shall pay the net amount so recovered and realised to the liquidator of that foreign building society for the place where it was formed or incorporated. (4) Where a foreign building society has been wound up so far as its assets in the State are concerned and there is no

54 Building Societies Act Amendment Act 1987, No. 7 liquidator for the place of its incorporation or origin the liquidator may apply to the Court for directions as to the disposal of the net amount recovered in pursuance of subsection (3) and the Court may give such directions as to it seems fit. (5) On receipt of a notice from an agent that the foreign building society has been dissolved, the Registrar shall remove the name of the building society from the register. (6) Where the Registrar has reasonable cause to believe that a foreign building society has ceased to carry on business or to have a place of business in the State the provisions of this Act relating to the cancellation of the registration of defunct building societies shall with such adaptations as are necessary extend and apply accordingly. 1541. Restriction on use of certain names. (1) Except with the consent of the Minister a foreign building society shall not be registered by a name that, in the opinion of the Registrar, is undesirable or is a name , or a name of a kind, that the Minister has directed the Registrar not to accept for registration. (2) Except with the consent of the Minister, any change in the name of a foreign building society shall not be registered if, in the opinion of the Registrar, the new name of the building society is undesirable or is a name, or a name of a kind, that the Minister has directed the Registrar not to accept for registration, notwithstanding that particulars of the change have been lodged in accordance with section 154D. (3) No foreign building society to which this Part applies shall use in the State any name other than that under which it is registered under this Part or under any other Act.". 29. New ss. 154J and 154K. The Principal Act is amended by inserting the following sections after section 1541:- "154J. Penalties . If default is made by any foreign building society in complying with any provision of this Part the foreign building society and any officer of the foreign building society who is in default and any agent of the foreign building society who knowingly and wilfully authorizes or permits the default, shall be guilty of an offence. 154K. Winding up of foreign building societies . The provisions of Division 6 of Part XII of the Companies (Queensland) Code apply, mutatis mutandis, and subject to such modifications as are prescribed to the winding up of a foreign building society registered under this Part and such a building society may be wound up accordingly, a reference in those provisions to the Commission being construed as a reference to the Registrar.". 30. Amendment of s. 162. Inspection of books, etc . Section 162 of the Principal Act is amended by adding at the end of the section the following subsection:- "(8) In this section-

Building Societies Act Amendment Act 1987, No. 7 55 "building society" includes a foreign building society registered under Part IXA and a body exempted under section 27A.". 31. Amendment of s. 163. Investigation of certain matters. Section 163 of the Principal Act is amended by inserting after the words "building society," the expression "a foreign building society registered under Part IXA or a body exempted under section 27A,". 32. Amendment of s. 164 . Inspection of documents in Registrar's office. Section 164 of the Principal Act is amended by, in subsection (1), omitting paragraphs (a), (b) and (c) and substituting the following paragraphs:- "(a) inspect at the office of the Registrar the registration documents and rules of a building society, or a foreign building society registered under Part IXA; (b) obtain from the Registrar a certified copy of the rules or certificate of the registration of a building society, or a foreign building society registered under Part IXA or any part of such rules; (c) inspect any document (other than a prescribed document) lodged pursuant to this Act or the repealed Act by a building society, or a foreign building society registered under Part IXA;". 33. Amendment of s. 165. Information and evidence . Section 165 of the Principal Act is amended by adding at the end of the section the following subsection:- "(4) The preceding provisions of this section apply with all necessary modifications to a foreign building society registered, or applying for registration, under Part IXA.". 34. Amendment of s. 169 . Interpretation . Section 169 of the Principal Act is amended by inserting after the definition "affairs" the following definition:- "building society" includes- (a) a foreign building society registered under Part IXA; (b) a body exempted under section 27A; and (c) where the Minister has appointed an inspector under section 170 (2A) to investigate the affairs of a building society, that building society;". 35. Amendment of s. 170. Appointment of inspectors . Section 170 of the Principal Act is amended by inserting the following subsections after subsection (2):- "(2A) Where- (a) under a law of another State or of a Territory

56 Building Societies Act Amendment Act 1987, No. 7 corresponding to this Division , a person has been appointed to investigate affairs of a building society registered in that State or Territory; and (b) the Minister is satisfied that in connexion with that investigation it is expedient that an investigation be made into those affairs in this State, the Minister may by instrument in writing appoint that person an inspector to investigate those affairs in this State or, if the Minister is of the opinion that an investigation ought not to be made into all those affairs, such of those affairs as he is satisfied ought to be investigated and specifies in the instrument. (2B) Where, under subsection (2A), the Minister may appoint a person to investigate affairs of a building society in this State, he may by instrument in writing declare that that person shall have such of the powers of an inspector appointed under subsection (1) in relation to the investigation subject to such terms and conditions as the Minister specifies in the instrument as if that person had been appointed an inspector under subsection (1) and upon that declaration that person shall have the powers so specified and subject to all necessary adaptations, for the purposes of the investigation the provisions of this Division apply to and in relation to that person and that investigation as if he had been appointed an inspector under subsection (1).". 36. Amendment of s. 180 . Inquiry by Registrar or his deputy. Section 180 of the Principal Act is amended by, in paragraph (a) of subsection (9), omitting the expression "and section 179". 37. Amendment of s. 185. Certificates , etc. Section 185 of the Principal Act is amended by, in subsection (3), omitting the words ", or Deputy Registrar,". 38. Amendment of s. 199. False reports. Section 199 of the Principal Act is amended by- (a) in subsection (1)- (i) omitting the words ", report or representation" (where twice occurring) and substituting in each case the words "or report"; (ii) omitting paragraphs (a) and (b); (iii) in paragraph (d), inserting after the words "member," the words "depositor, "; (b) in subsection (2)- (i) omitting paragraphs (a) and (b); (ii) in paragraph (d), inserting after the words "member," the words "depositor,";

Building Societies Act Amendment Act 1987, No. 7 57 (iii) omitting the word "commits" and substituting the words "without having taken reasonable steps to ensure that the statement or report was not false or misleading commits". 39. Amendment of s. 203. Frauds by officers . Section 203 of the Principal Act is amended by- (a) in subsection (1)- (i) omitting the expression "(1)" where it occurs before the words "A person"; (ii) adding the word "or" after the words "of;" in subparagraph (iv) of paragraph (a); (iii) adding the word "or" after the words "subsidiary;" in paragraph (b); (b) omitting subsection (2). 40. Amendment of s. 208. Interpretation . Section 208 of the Principal Act is amended- (a) in paragraph (e) of subsection (1), by omitting the expression "sections 179 and 180" and substituting the expression "section 179"; (b) in subsection (3), by in the definition "appropriate officer"- (i) omitting the word "and" following paragraph (e); (ii) adding the word "and" after the words "Registrar;" in paragraph (h). 41. Amendment of s. 223. Advertising . Section 223 of the Principal Act is amended by omitting subsection (6) and substituting the following subsection:- "(6) In this section- "advertisement" includes- (a) any circular or handbill in or by any medium inviting business or making known the activities of a building society or proposed permanent building society; (b)- (i) the promotion or sponsorship of any activity; or (ii) the sponsorship of a person, which has the effect of inviting business or making known the activities of a building society or 3

58 Building Societies Act Amendment Act 1987, No. 7 proposed activities of a proposed permanent building society; (c) matter that makes known the activities of a building society; (d) matter that involves the employment of funds pursuant to section 32 or 33 that is not in writing but by reason of the form or context in which it appears conveys a message, and "advertise" has a corresponding meaning; "building society" includes a foreign building society registered under Part IXA and a body exempted under section 27A.". 42. Amendment of s. 227. Building societies may be approved for purposes of Trusts Act. Section 227 of the Principal Act is amended by omitting the second paragraph and substituting the following paragraph:- "The regulations may- (a) prescribe guidelines in accordance with which applications under this section shall be determined; (b) prescribe requirements with which building societies approved of under this section must comply; and (c) notwithstanding paragraph (g) of section 222 (1), prescribe penalties not exceeding 200 penalty units for a failure to comply with a requirement prescribed under paragraph (b) and, where that failure is of a continuing nature, an additional penalty of 20 penalty units for each day that the failure continues.".