Australian Securities and Investments Commission
Corporations Act 2001 - Paragraphs 601QA(1)(a) and (b) - Variation
Under paragraphs 601QA(1)(a) and (b) of the Corporations Act 2001 the Australian Securities and Investments Commission hereby varies Class Order [98/55] by:
1. omitting from the heading the word “Law” and substituting the words “Act 2001”;
2. omitting from the first paragraph the words “Corporations Law (the Law)” and substituting the words “Corporations Act 2001 (the Act)”;
3. omitting from Schedule A the word “Law” and substituting the word “Act”;
4. omitting from the introductory words of paragraph 1 of Schedule B the date
“1 July 2002” in both places where it occurs and substituting the date “1 July 2003”;
5. omitting from the introductory words of paragraph 2 of Schedule B the date “1 July 2002” in both places where it occurs and substituting the date “31 December 2004”;
6. omitting from the introductory words of paragraph 3(a) of Schedule B the word “Law” and substituting the word “Act”;
7. omitting from paragraph 3(b) of Schedule B the words:
(a) “old Law (as defined in section 1451)” and substituting the words “Corporations Law (as in force immediately before the commencement of the Managed Investments Act 1998 and as continued in force by section 1408 of the Act)”; and
(b) “the Law” and substituting the words “that Law”;
8. omitting from the introductory words of paragraph 5 of Schedule B the date “1 July 2002” in both places where it occurs and substituting the date “31 December 2004”;
9. omitting from paragraph 8 of Schedule B the words “old Law (as defined in section 1451)” and substituting the words “Corporations Law (as in force immediately before the commencement of the Managed Investments Act 1998 and as continued in force by section 1408 of the Act)”;
10. omitting from paragraph 9 of Schedule B the words “State or the Capital Territory” and substituting the words “State, the Northern Territory or the Capital Territory”; and
11. in the paragraph commencing with the words “And pursuant”:
(a) omitting the word “Law” and substituting the word “Act”;
(b) inserting after the number “11.2” the words “(as continued in force by section 1408 of the Act)”; and
(c) inserting after the number “1454” the words “in that Division”.
Dated the 28th day of June 2002
Signed by Brendan Byrne
as a delegate of the Australian Securities and Investments Commission
Overview
The Australian Securities and Investments Commission (ASIC) Corporations Act 2001, enacted by the Parliament of Australia, was designed to consolidate and streamline the existing corporate law framework in Australia, replacing the Corporations Law. The Act aimed to address issues related to corporate governance, financial disclosure, and investor protection by providing a comprehensive and up-to-date legislative foundation for the regulation of corporations in Australia. The policy objective was to create a more effective and efficient legal structure for corporations, enhancing investor confidence and ensuring better regulation and oversight of corporate activities. This legislative instrument varies Class Order [98/55] to align it with the new Corporations Act 2001, ensuring consistency and continuity in the application of corporate regulations.
Scope and Application
The Corporations Act 2001, as varied by the legislative instrument F2006B01322, applies to entities, individuals, and transactions governed by the Act, particularly those involving managed investments. The instrument primarily modifies Class Order [98/55] to align with the transition from the Corporations Law to the Corporations Act 2001. It ensures that references to the old law are replaced with references to the new Act, impacting various provisions and schedules. The changes are effective across the Commonwealth of Australia, covering states, territories, and federal entities. The legislative instrument also adjusts certain dates to reflect new timelines, ensuring compliance with the updated legal framework. Notably, the instrument does not create new exclusions or exemptions but rather refines the existing provisions to fit within the new Act's structure, thereby maintaining continuity in legal application and enforcement.
Key Provisions
The Australian Securities and Investments Commission, pursuant to paragraphs 601QA(1)(a) and (b) of the Corporations Act 2001, has varied Class Order [98/55] through a legislative instrument. These variations primarily involve textual adjustments within the Class Order to reflect changes in legislative terminology and references following the enactment of the Corporations Act 2001. Specifically, references to "Law" are replaced with "Act", and certain dates have been updated to reflect more recent timeframes, such as changing the dates from 1 July 2002 to 1 July 2003 and from 31 December 2004. Additionally, references to the old "Corporations Law" have been updated to specify its status immediately before the commencement of the Managed Investments Act 1998 and its continuation under section 1408 of the Act.
These amendments impose certain obligations on entities governed by Class Order [98/55]. They must now align their internal documentation, policies, and procedures with the updated terminology and references to the Corporations Act 2001. This includes ensuring that any references to the "Corporations Law" are correctly updated to reflect the new legal framework. Additionally, any deadlines or timeframes specified in the Class Order have been revised, necessitating that entities adjust their compliance schedules accordingly.
The Corporations Act 2001 does not explicitly state penalties for non-compliance with these specific textual amendments within the Class Order. However, non-compliance with any provision of the Act could result in civil or criminal penalties, depending on the nature and severity of the breach. In general, civil penalties for breaches of the Corporations Act 2001 can include fines up to $210,000 for individuals and significantly higher amounts for bodies corporate. Criminal penalties may also apply, with potential fines and imprisonment terms for serious or repeated offences. The exact penalties would depend on the specific breach and the discretion of the court.