Notice of name change of authorised deposit-taking institution - Illawarra Credit Union Limited

Overview

The Notice of name change of authorised deposit-taking institution under the Banking Act 1959 was enacted to address the need for formal notification when a financial institution changes its name. This legislation ensures that any modifications to the name of an institution authorised under the Act are properly documented and recognised by relevant authorities. The Australian Prudential Regulation Authority (APRA) is the body responsible for enforcing this notification requirement, ensuring transparency and regulatory compliance within the banking sector. The policy objective is to maintain clear and accurate records of authorised institutions, facilitating effective supervision and regulatory oversight. On 26 November 2018, Mark Adams, a delegate of APRA, issued a notice under the Banking Act 1959 confirming that Community Alliance Credit Union Limited had changed its name to Illawarra Credit Union Limited. This change was made effective upon the publication of the notice in the Gazette, ensuring that the institution's authority under the Act was correctly attributed to its new name. This notification is crucial for maintaining the integrity of financial records and ensuring that regulatory bodies can accurately monitor and manage authorised deposit-taking institutions.

Scope and Application

The Notice of name change of authorised deposit-taking institution is a formal announcement under the Banking Act 1959, issued by a delegate of the Australian Prudential Regulation Authority (APRA). This notice applies specifically to Community Alliance Credit Union Limited, which has changed its name to Illawarra Credit Union Limited. This name change, as per the provisions of the Act, is effective from the date of publication in the Gazette and results in the Authority previously held by Community Alliance Credit Union Limited being deemed to have been granted to Illawarra Credit Union Limited. The Banking Act 1959 governs authorised deposit-taking institutions, and this notice confirms that the legal status and permissions of Illawarra Credit Union Limited are unchanged despite the name alteration. The jurisdiction of this notice is national, applying across Australia, and it specifically pertains to the institutions and entities involved in the name change process as outlined by the Act. There are no exclusions, exemptions, or thresholds specified in this notice, and it directly follows the statutory requirements under the Banking Act 1959 without additional extension or restriction through subordinate instruments.

Key Provisions

The primary sections of this legislative notice are found in the Banking Act 1959, particularly sections 9, 9B(1)(b), and 9B(3). Section 9 of the Act pertains to the authority granted to an institution such as Community Alliance Credit Union Limited to operate as an authorised deposit-taking institution. Section 9B(1)(b) allows for the delegate of the Australian Prudential Regulation Authority (APRA) to be satisfied that a name change has occurred, while section 9B(3) specifies that the authority previously held by the original institution will be deemed to have been granted to the newly named institution, Illawarra Credit Union Limited, upon publication of this notice in the Gazette. The obligations imposed by the Act on the parties involved are straightforward. The Authority originally granted to Community Alliance Credit Union Limited must be communicated to the public via the Gazette, thereby informing stakeholders of the name change to Illawarra Credit Union Limited. This ensures transparency and continuity in the regulatory oversight of the institution. Mark Adams, as a delegate of APRA, must verify that the name change has indeed taken place and that the institution has satisfied all necessary conditions before making this declaration. In terms of legal consequences, the Act does not explicitly detail penalties for non-compliance with the name change process itself. However, failure to notify or comply with the regulatory requirements could potentially lead to broader legal issues under the Banking Act 1959 or other relevant legislation. Non-compliance might result in civil or criminal proceedings depending on the nature and severity of the breach, including potential fines or sanctions against the institution or its directors. The specific penalties would be determined based on the particular circumstances and any additional breaches of the Act that may arise from the failure to appropriately manage the name change.