Conditions on authority to carry on banking business 2021 – MyLifeMyFinance Limited
Banking Act 1959
To: MyLifeMyFinance Limited ABN 54 087 651 750 (the ADI)
SINCE the ADI holds a section 9 authority to carry on banking business in Australia (the authority),
I, Clare Gibney, a delegate of APRA under paragraph 9AA(1)(a) of the Banking Act 1959 (the Act), IMPOSE the conditions on the authority as specified in the schedule.
This instrument commences on 31 July 2021. Dated: 29 July 2021
Clare Gibney General Manager Banking Division
Interpretation
In this instrument:
APRA means the Australian Prudential Regulation Authority.
banking business has the meaning given in subsection 5(1) of the Act.
section 9 authority has the meaning given in subsection 5(1) of the Act.
Notes
APRA is required to publish this instrument in the Gazette.
A decision to impose conditions or additional conditions, or vary the conditions, on a section 9 authority is a decision to which Part VI of the Act applies. You may request APRA reconsider the decision in accordance with subsection 51B(1) of the Act. The request for reconsideration must be made in writing, must state the reasons for the request, and must be given to APRA within 21 days after the day on which you first received notice of this decision, or within such further period as APRA allows. If you are dissatisfied with the outcome of APRA’s reconsideration of the decision, you may, subject to the Administrative Appeals Tribunal Act 1975, apply to the Administrative Appeals Tribunal for review of the reconsidered decision. The address where written notice may be given to APRA is Level 12, 1 Martin Place, Sydney NSW 2000.
Schedule – conditions imposed
The following conditions are imposed:
- The ADI must consult with APRA prior to commencing any new line of business (on- or off-balance sheet).
- From 1 February 2022, the Board of the ADI must have at least two independent directors who are not also directors of any other company in the Challenger group.
3. From 1 February 2022, the Board Risk Committee and the Board Audit Committee of the ADI must each have at least one independent director who is not also a director of any other company in the Challenger group.
4. The ADI must maintain a first line credit underwriting function located within the ADI at all times.
5. From 1 November 2021, the ADI must maintain a second line credit risk function located within the ADI at all times.
6. The funds and other assets of the ADI and its subsidiaries must not be used to directly or indirectly fund, or provide security for, the purchase of financial products issued or underwritten by a member of the Challenger group that is not a subsidiary of the ADI except with the written agreement of APRA.
7. The ADI may outsource its treasury management functions to CIP Asset Management (part of Challenger Limited) only to the extent that the functions are already outsourced as at the commencement of this instrument and provided that the value of the total assets of the ADI does not exceed $1 billion.
Interpretation
In this schedule:
Challenger group means Challenger Limited ABN 85 106 842 371 and its subsidiaries (within the meaning of section 50 of the Corporations Act 2001).
total assets means the total assets worked out in accordance with the method for calculating total assets under Reporting Standard ARS 320.0 as in force from time to time and, if Reporting Standard ARS 320.0 is replaced by a different Reporting Standard, that Reporting Standard as in force from time to time.
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