ASIC Corporations (Amendment) Instrument 2024/806

Administered by Department of the Treasury

Legislation au F2024L01272 Not in force Legislative Instrument

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Explanatory Statement

 

ASIC Corporations (Amendment) Instrument 2024/806

This is the Explanatory Statement for ASIC Corporations (Amendment) Instrument 2024/806.

The Explanatory Statement is approved by the Australian Securities and Investments Commission (ASIC).

Summary

1. The instrument amends ASIC Corporations (Externally-Administered Bodies) Instrument 2015/251 (Externally-Administered Bodies Instrument) and ASIC Corporations (Group Purchasing Bodies) Instrument 2018/751 (Group Purchasing Bodies Instrument) to take account of the establishment of the Administrative Review Tribunal (ART) by the Administrative Review Tribunal Act 2024 (ART Act) and the abolition of the Administrative Appeals Tribunal (AAT) by the Administrative Review Tribunal (Consequential and Transitional Provisions No. 1) Act 2024 (ART Consequential and Transitional Provisions Act).

Purpose of the instrument

2. The instrument omits references to the AAT in the Externally-Administered Bodies Instrument and the Group Purchasing Bodies Instrument and replaces those with references to the ART, coinciding with the abolition of the AAT and the commencement of the ART on 14 October 2024,

Consultation

3. Consultation in relation to this instrument was not undertaken by ASIC as the instrument only makes amendments of a minor or machinery nature that are consequential on the commencement of the ART Act.

Operation of the instrument

4. Section 2 of the instrument provides that it commences on 14 October 2024. This coincides with the date that the AAT is abolished and the ART commences.  

5. Items 1 to 3 of Schedule 1 to the instrument amend the Externally-Administered Bodies Instrument to omit references to the Administrative Appeals Tribunal Act 1975 and the Administrative Appeals Tribunal and replace those with references to the Administrative Review Tribunal Act 2024 and the Administrative Review Tribunal.

6. Items 4 and 5 of Schedule 1 to the instrument amend the Group Purchasing Bodies Instrument to omit references to the Administrative Appeals Tribunal Act 1975 and the Administrative Appeals Tribunal and replace those with references to the Administrative Review Tribunal Act 2024 and the Administrative Review Tribunal.

Legislative instrument and primary legislation 

7. The instrument makes amendments to legislative instruments that are designed to ensure consistent application with primary legislation and apply in a way consistent with the intended policy and the enabling provisions in primary legislation.

Duration of the instrument

8. The duration of the amendments made by the instrument will coincide with the durations of the Externally-Administered Bodies Instrument and the Group Purchasing Bodies Instrument, which are due to sunset on 1 October 2025 and 1 October 2028 respectively.

Legislative authority

9. The instrument is made under 250PAA, 341, 341A, 601QA, 926A, 951B, 992B and 1217 of the Corporations Act 2001.

10. To make an order under section 341 or 341A, ASIC must be satisfied that complying with the relevant requirements of Parts 2M.2, 2M.3 and 2M.4 of the Act would make the financial report, sustainability report or other reports misleading, or be inappropriate in the circumstances or impose unreasonable burdens.

11. Under subsection 33(3) of the Acts Interpretation Act 1901, where an Act confers a power to make, grant or issue any instrument of a legislative or administrative character (including rules, regulations or by-laws), the power shall be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to repeal, rescind, revoke, amend, or vary any such instrument.

12. Section 13(1) of the ART Act provides that a legislative instrument may provide for an application to be made to the ART for review of a decision made under the instrument.

13. The instrument is a disallowable legislative instrument.

Statement of Compatibility with Human Rights 

14. The Explanatory Statement for a disallowable legislative instrument must contain a Statement of Compatibility with Human Rights under subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011. A Statement of Compatibility with Human Rights is in the Attachment.


Attachment

Statement of Compatibility with Human Rights

 

This Statement of Compatibility with Human Rights is prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.  

ASIC Corporations (Amendment) Instrument 2024/806

Overview

  1.              The instrument amends ASIC Corporations (Externally-Administered Bodies) Instrument 2015/251 and ASIC Corporations (Group Purchasing Bodies) Instrument 2018/751 to take account of the establishment of the Administrative Review Tribunal (ART) by the Administrative Review Tribunal Act 2024 (ART Act) and the abolition of the Administrative Appeals Tribunal (AAT) by the Administrative Review Tribunal (Consequential and Transitional Provisions No. 1) Act 2024 (ART Consequential and Transitional Provisions Act).

Assessment of human rights implications

2. This instrument does not engage any of the applicable rights or freedoms.

Conclusion

3. This instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

 

Overview

The ASIC Corporations (Amendment) Instrument 2024/806, enacted by the Australian Securities and Investments Commission (ASIC), addresses the legislative gap created by the establishment of the Administrative Review Tribunal (ART) and the subsequent abolition of the Administrative Appeals Tribunal (AAT). This instrument amends the ASIC Corporations (Externally-Administered Bodies) Instrument 2015/251 and the ASIC Corporations (Group Purchasing Bodies) Instrument 2018/751 to reflect the legislative changes brought about by the Administrative Review Tribunal Act 2024 and the Administrative Review Tribunal (Consequential and Transitional Provisions No. 1) Act 2024. The policy objective is to ensure the smooth transition from the AAT to the ART, thereby maintaining the integrity and consistency of the legal framework governing externally-administered bodies and group purchasing bodies within the corporations sector. The instrument commences on 14 October 2024, aligning with the abolition of the AAT and the commencement of the ART, ensuring that all references to the AAT are replaced with references to the ART in the relevant instruments.

Scope and Application

The ASIC Corporations (Amendment) Instrument 2024/806 amends the ASIC Corporations (Externally-Administered Bodies) Instrument 2015/251 and the ASIC Corporations (Group Purchasing Bodies) Instrument 2018/751 to reflect the establishment of the Administrative Review Tribunal (ART) under the Administrative Review Tribunal Act 2024 and the abolition of the Administrative Appeals Tribunal (AAT) by the Administrative Review Tribunal (Consequential and Transitional Provisions No. 1) Act 2024. These amendments ensure consistency with the legislative framework by replacing references to the AAT with the ART, effective from 14 October 2024, the date when the ART commences and the AAT is abolished. The instrument applies to entities subject to the Externally-Administered Bodies Instrument and the Group Purchasing Bodies Instrument, which are regulated under the Corporations Act 2001. This includes entities that have external administrators or are involved in group purchasing arrangements. The instrument does not create any new obligations or restrictions but ensures that references to the AAT are updated to the ART, maintaining the integrity and continuity of legal processes. The instrument does not include any exemptions or exclusions and is designed to operate in alignment with the ART Act and the Corporations Act 2001.

Key Provisions

The ASIC Corporations (Amendment) Instrument 2024/806, which is set to commence on 14 October 2024, introduces amendments to the ASIC Corporations (Externally-Administered Bodies) Instrument 2015/251 and the ASIC Corporations (Group Purchasing Bodies) Instrument 2018/751. These amendments are primarily in response to the establishment of the Administrative Review Tribunal (ART) and the abolition of the Administrative Appeals Tribunal (AAT) as outlined in the Administrative Review Tribunal Act 2024 and the Administrative Review Tribunal (Consequential and Transitional Provisions No. 1) Act 2024. The changes involve replacing references to the AAT in the aforementioned instruments with references to the ART, ensuring consistency and alignment with the new tribunal structure. The obligations imposed by this instrument on parties and entities governed by the amended instruments include ensuring that any references to the AAT are updated to reflect the ART. This is crucial for maintaining the integrity and enforceability of the instruments in light of the tribunal's establishment and the AAT's abolition. Entities and individuals subject to these instruments must now direct any appeals or administrative reviews to the ART as per the revised references. This shift necessitates that relevant documentation, procedures, and internal processes are updated to reflect the new tribunal. In terms of potential breaches, there are no specific offences or penalties outlined in the Explanatory Statement for this instrument. However, entities failing to comply with the updated references could face legal challenges or invalidation of their administrative processes, as the instruments would no longer align with the current legislative framework. The primary consequence of non-compliance would be the potential for appeals or reviews to be dismissed or deemed invalid if they were directed to the AAT instead of the ART. The instrument's amendments are designed to ensure that the transition from the AAT to the ART is smooth and legally sound, with no punitive measures explicitly stated beyond the risk of procedural invalidity.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.