Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021

Administered by Department of the Treasury

Legislation au C2021A00064 In force Act

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Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021

 

No. 64, 2021

 

 

 

 

 

An Act to deal with consequential and transitional matters in connection with the Financial Regulator Assessment Authority Act 2021, and for related purposes

 

 

Contents

1 Short title

2 Commencement

3 Schedules

Schedule 1—Amendments

Part 1—Main amendments

Australian Prudential Regulation Authority Act 1998

Australian Securities and Investments Commission Act 2001

Banking Act 1959

Insurance Act 1973

Life Insurance Act 1995

Part 2—Other amendments

Australian Prudential Regulation Authority Act 1998

Australian Securities and Investments Commission Act 2001

 

 

 

Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021

No. 64, 2021

 

 

 

An Act to deal with consequential and transitional matters in connection with the Financial Regulator Assessment Authority Act 2021, and for related purposes

[Assented to 29 June 2021]

The Parliament of Australia enacts:

1  Short title

  This Act is the Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provisions

Commencement

Date/Details

1.  Sections 1 to 3 and anything in this Act not elsewhere covered by this table

The day this Act receives the Royal Assent.

29 June 2021

2.  Schedule 1

The later of:

(a) the start of the day after this Act receives the Royal Assent; and

(b) the commencement of the Financial Regulator Assessment Authority Act 2021.

However, the provisions do not commence at all if the event mentioned in paragraph (b) does not occur.

1 July 2021

(paragraph (b) applies)

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

 (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3  Schedules

  Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Amendments

Part 1—Main amendments

Australian Prudential Regulation Authority Act 1998

1  Subsection 56(1)

Insert:

Financial Regulator Assessment Authority official means an entrusted person within the meaning of the Financial Regulator Assessment Authority Act 2021.

2  Paragraph 56(2)(c)

After “(6),”, insert “(6AA), (6AB),”.

3  After subsection 56(6)

Insert:

 (6AA) It is not an offence if the disclosure of protected information or the production of a protected document is to a Financial Regulator Assessment Authority official for the purposes of the performance of the Financial Regulator Assessment Authority’s functions or the exercise of the Financial Regulator Assessment Authority’s powers.

Note: A defendant bears an evidential burden in relation to the matters in subsection (6AA) (see subsection 13.3(3) of the Criminal Code).

 (6AB) It is not an offence if:

 (a) the disclosure of protected information or the production of a protected document is by a person who is or has been a Financial Regulator Assessment Authority official; and

 (b) the person acquired the information or accessed the document in the course of the person’s duties in relation to the Financial Regulator Assessment Authority.

Note 1: A defendant bears an evidential burden in relation to the matters in subsection (6AB) (see subsection 13.3(3) of the Criminal Code).

Note 2: Division 3 of Part 4 of the Financial Regulator Assessment Authority Act 2021 deals with disclosure of information by Financial Regulator Assessment Authority officials.

4  After subsection 56(8)

Insert:

 (8A) However, subsection (8) does not prevent a person who is, or has been, a Financial Regulator Assessment Authority official from being required to disclose, or produce a document containing, protected information (within the meaning of the Financial Regulator Assessment Authority Act 2021) when it is necessary to do so for the purposes of that Act.

5  After subsection 56(9)

Insert:

 (9A) Subsection (9) does not apply if the information is disclosed, or the document is produced, in accordance with subsection (6AA) or (6AB).

6  Paragraph 56(12)(a)

After “(6),”, insert “(6AA),”.

Australian Securities and Investments Commission Act 2001

7  After paragraph 127(2A)(b)

Insert:

 (ba) the Financial Regulator Assessment Authority;

8  In the appropriate position

Insert:

Part 34—Application provision relating to Schedule 1 to the Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021

 

333  Application—confidentiality

  The amendment of section 127 made by Part 1 of Schedule 1 to the Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021 applies in relation to any use or disclosure of information after the commencement of that Part, whether ASIC obtained the information before or after that commencement.

Banking Act 1959

9  After subparagraph 11CM(1)(a)(ii)

Insert:

 (iia) a Financial Regulator Assessment Authority official (within the meaning of that subsection); or

Insurance Act 1973

10  After subparagraph 109E(1)(a)(ii)

Insert:

 (iia) a Financial Regulator Assessment Authority official (within the meaning of that subsection); or

11  Paragraph 109E(1)(c)

After “(6),”, insert “(6AA), (6AB),”.

Life Insurance Act 1995

12  After subparagraph 231E(1)(a)(ii)

Insert:

 (iia) a Financial Regulator Assessment Authority official (within the meaning of that subsection); or

13  Paragraph 231E(1)(c)

After “(6),”, insert “(6AA), (6AB),”.

14  Application of amendments

The amendments of the Australian Prudential Regulation Authority Act 1998, the Banking Act 1959, the Insurance Act 1973 and the Life Insurance Act 1995 made by this Part apply in relation to:

 (a) any disclosure of information after the commencement of this item, whether the information was disclosed or obtained under, or for the purposes of, a prudential regulation framework law before or after that commencement; and

 (b) any production of a document after the commencement of this item, whether the document was given or produced under, or for the purposes of, a prudential regulation framework law before or after that commencement.

Part 2—Other amendments

Australian Prudential Regulation Authority Act 1998

15  At the end of section 55B

Add:

 (6) If the Chair makes a determination under subsection (4), the Chair must give the following to the Financial Regulator Assessment Authority as soon as practicable:

 (a) a copy of the determination;

 (b) a written statement of the reasons why the Chair made the determination.

16  Transitional provision—determinations made before commencement

If the Chair makes a determination under subsection 55B(4) of the Australian Prudential Regulation Authority Act 1998 before the commencement of this Part, the Chair must give the following to the Financial Regulator Assessment Authority as soon as practicable after the commencement of this Part:

 (a) a copy of the determination;

 (b) a written statement of the reasons why the Chair made the determination.

Australian Securities and Investments Commission Act 2001

17  At the end of section 122C

Add:

 (6) If the Chairperson makes a determination under subsection (4), the Chairperson must give the following to the Financial Regulator Assessment Authority as soon as practicable:

 (a) a copy of the determination;

 (b) a written statement of the reasons why the Chairperson made the determination.

18  Transitional provision—determinations made before commencement

If the Chairperson makes a determination under subsection 122C(4) of the Australian Securities and Investments Commission Act 2001 before the commencement of this Part, the Chairperson must give the following to the Financial Regulator Assessment Authority as soon as practicable after the commencement of this Part:

 (a) a copy of the determination;

 (b) a written statement of the reasons why the Chairperson made the determination.

 

 

 

 

[Minister’s second reading speech made in—

House of Representatives on 13 May 2021

Senate on 15 June 2021]

 

(46/21)

 

Overview

The Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021 was enacted by the Parliament of Australia to address consequential and transitional issues arising from the Financial Regulator Assessment Authority Act 2021. The Act was assented to on 29 June 2021 and provides for amendments to existing legislation to ensure that the establishment and functions of the Financial Regulator Assessment Authority (FRAA) are properly integrated into the existing regulatory framework. The primary objective is to ensure a seamless transition and alignment of the FRAA with other financial regulatory bodies, thus maintaining regulatory coherence and effectiveness. The Act makes several consequential amendments to the Australian Prudential Regulation Authority Act 1998, the Australian Securities and Investments Commission Act 2001, the Banking Act 1959, the Insurance Act 1973, and the Life Insurance Act 1995. These amendments include defining terms, modifying disclosure requirements, and ensuring that officials of the FRAA are recognised in the specified Acts. The Act also includes transitional provisions to address determinations made by the Chair of the Australian Prudential Regulation Authority and the Chairperson of the Australian Securities and Investments Commission before the commencement of the Act, ensuring that these determinations are communicated to the FRAA in a timely manner.

Scope and Application

The Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021 is a legislative instrument designed to manage transitional and consequential issues arising from the implementation of the Financial Regulator Assessment Authority Act 2021. This Act applies to various financial regulatory bodies and their officials, including the Australian Prudential Regulation Authority, the Australian Securities and Investments Commission, and other related entities. Its geographic scope is national, aligning with the Commonwealth jurisdiction. The Act commenced on 29 June 2021, with specific provisions taking effect on 1 July 2021, contingent upon the commencement of the Financial Regulator Assessment Authority Act 2021. The amendments and transitional provisions outlined in Schedule 1 affect the Australian Prudential Regulation Authority Act 1998, the Australian Securities and Investments Commission Act 2001, the Banking Act 1959, the Insurance Act 1973, and the Life Insurance Act 1995, primarily by defining roles, responsibilities, and procedures related to the Financial Regulator Assessment Authority and its officials. The Act does not specify exclusions or thresholds but extends its application through amendments to existing legislation.

Key Provisions

The Financial Regulator Assessment Authority (Consequential Amendments and Transitional Provisions) Act 2021 (C2021A00064) sets out various amendments and transitional provisions in relation to the Financial Regulator Assessment Authority Act 2021 and other financial regulation framework laws. Section 1 defines the short title of the Act, while Section 2 outlines the commencement dates for different parts of the Act. Specifically, Sections 1 to 3 and any other unspecified provisions commence on the day the Act receives Royal Assent, which is 29 June 2021 (subsection 2(1)). Schedule 1, which contains the main amendments, commences on the later of either the day after the Act receives Royal Assent or the commencement of the Financial Regulator Assessment Authority Act 2021; however, these provisions do not commence if the latter event does not occur (subsection 2(2)). The Act imposes several obligations and requirements on financial regulators and officials. For instance, it mandates that the Australian Prudential Regulation Authority (APRA) and the Australian Securities and Investments Commission (ASIC) provide the Financial Regulator Assessment Authority (FRAA) with copies of any determinations made under specific sections of their respective Acts, as well as written statements explaining the reasons for those determinations (subsections 15 and 17). Additionally, it requires APRA to include the FRAA as an "entrusted person" under certain circumstances (subsection 1). The Act also provides that the disclosure of protected information or production of protected documents to a FRAA official for the performance of their functions is not an offence, provided certain conditions are met (subsections 6AA and 6AB). However, these officials may still be required to disclose protected information or produce documents when necessary for the purposes of the FRAA Act (subsection 8A). Failure to comply with the requirements of the Act may result in civil or criminal consequences. For example, under the Australian Prudential Regulation Authority Act 1998, unauthorised disclosure of protected information or production of protected documents can lead to penalties, including fines of up to $210,000 for individuals and $1,050,000 for bodies corporate (subsection 56(8)). Similarly, under the Australian Securities and Investments Commission Act 2001, unauthorised disclosure of information obtained in the course of official duties may result in penalties of up to $210,000 for individuals and $1,050,000 for bodies corporate (subsection 127(5)). The Act itself does not specify penalties for non-compliance, but rather refers to the penalties prescribed under the relevant financial regulation framework laws.

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Instrument
Act
Concepts
Commencement Provisions
Repeal & Amendment
Transitional Provisions
Delegated & Subordinate Legislation
Reporting & Disclosure Obligations
Compliance Obligations

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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.