Financial Services Reform Amendment Act 2003
No. 141, 2003
An Act to amend the law relating to financial services and markets, and for other purposes
Contents
1 Short title
2 Commencement
3 Schedule(s)
Schedule 1—Amendment of the Corporations Act 2001 relating to unsolicited offers to purchase financial products off‑market
Schedule 2—Other amendments of the Corporations Act 2001
Schedule 3—Amendment of other Acts
Australian Securities and Investments Commission Act 2001
Income Tax Assessment Act 1997
Retirement Savings Accounts Act 1997
Schedule 4—Transitional provisions
Corporations Act 2001
Financial Services Reform Amendment Act 2003
No. 141, 2003
An Act to amend the law relating to financial services and markets, and for other purposes
[Assented to 17 December 2003]
The Parliament of Australia enacts:
1 Short title
This Act may be cited as the Financial Services Reform Amendment Act 2003.
2 Commencement
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, on the day or at the time specified in column 2 of the table.
Commencement information |
Column 1 | Column 2 | Column 3 |
Provision(s) | Commencement | Date/Details |
1. Sections 1 to 3 and anything in this Act not elsewhere covered by this table | The day on which this Act receives the Royal Assent | 17 December 2003 |
2. Schedule 1 | The 28th day after this Act receives the Royal Assent | 14 January 2004 |
3. Schedule 2, items 1 to 46C | The day after this Act receives the Royal Assent | 18 December 2003 |
3A. Schedule 2, items 46D, 46E and 46F | 1 July 2004 | 1 July 2004 |
3B. Schedule 2, items 47 to 72 | The day after this Act receives the Royal Assent | 18 December 2003 |
3C. Schedule 2, item 72A | 1 July 2004 | 1 July 2004 |
3D. Schedule 2, items 73 to 87 | The day after this Act receives the Royal Assent | 18 December 2003 |
4. Schedule 2, item 88 | 1 July 2004 | 1 July 2004 |
4A. Schedule 2, item 88A | 1 July 2004 | 1 July 2004 |
5. Schedule 2, items 89 to 113 | The day after this Act receives the Royal Assent | 18 December 2003 |
5A. Schedule 3, items 1A to 1E | The day after this Act receives the Royal Assent | 18 December 2003 |
6. Schedule 3, item 1 | The later of: (a) the commencement of item 25 of Schedule 2 to this Act; and (b) immediately after the commencement of item 29 of Schedule 1 to the Taxation Laws Amendment Act (No. 5) 2003 | 18 December 2003 |
7. Schedule 3, item 2 | The day after this Act receives the Royal Assent | 18 December 2003 |
8. Schedule 4 | The day after this Act receives the Royal Assent | 18 December 2003 |
Note: This table relates only to the provisions of this Act as originally passed by the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.
(2) Column 3 of the table is for additional information that is not part…
Overview
The Financial Services Reform Amendment Act 2003 (C2004A01226) was enacted by the Parliament of Australia to amend the law relating to financial services and markets, and for other purposes. This Act introduced significant changes to the Corporations Act 2001 and other related legislation to enhance transparency, protect consumers, and regulate the financial services industry more effectively. One of the key areas addressed by the Act is the regulation of unsolicited offers to purchase financial products off-market, including provisions on how such offers must be made, their duration, and the consequences of non-compliance. The Act also introduces amendments to various definitions, obligations, and penalties to streamline financial product disclosure and other provisions. Additionally, it updates the framework for financial services licensing, reporting obligations, and exemptions, aiming to foster a more robust and compliant financial services environment.
Scope and Application
The Financial Services Reform Amendment Act 2003 amends the Corporations Act 2001, Australian Securities and Investments Commission Act 2001, Income Tax Assessment Act 1997, and Retirement Savings Accounts Act 1997. It primarily applies to financial services and markets, affecting corporations, financial services licensees, financial product issuers, and other relevant entities and individuals engaged in financial activities within Australia. The Act modifies existing provisions and introduces new requirements, including those related to unsolicited offers to purchase financial products off-market, disclosure obligations, and the updating of market values. The amendments also cover definitions, exemptions, and penalties for non-compliance, with some provisions applying retroactively to transactions and documents prepared before the Act's commencement, subject to specific transitional rules outlined in the Act.
Key Provisions
- The Financial Services Reform Amendment Act 2003 (Cth) amends the Corporations Act 2001 (Cth) to introduce new rules for unsolicited offers to purchase financial products off-market. The Act specifies the requirements for making such offers, including the content and delivery of offer documents, the duration of offers, and the obligations of offerors regarding market value updates. Additionally, it outlines the rights of sellers in cases where the offeror fails to comply with the requirements. The Act imposes several offences, including failure to comply with offer requirements, prohibitions on inviting offers to sell, and failure to update market values. Each offence carries a penalty of up to 100 penalty units or imprisonment for 2 years, or both, except for certain offences related to market value updates, which carry a penalty of up to 50 penalty units. The Act also introduces transitional provisions and amends other acts, including the Australian Securities and Investments Commission Act 2001, the Income Tax Assessment Act 1997, and the Retirement Savings Accounts Act 1997.
- Area of Law
- Commercial Law
- Corporate Law & Governance
- Financial Services Law
- Instrument
- Act
- Concepts
- Definitions & Interpretation
- Commencement Provisions
- Regulatory Standards
- Offence Provisions
- Civil Penalty Provisions
- Reporting & Disclosure Obligations
- Enforcement Powers
- Transitional Provisions
