Variation of List of Names and Categories of Registered Entities - Goldman Sachs Mortgage Company

Overview

The Financial Sector (Collection of Data) Act 2001 was enacted to establish a robust framework for the collection of data concerning financial institutions, thereby facilitating regulatory oversight and enhancing the stability of the financial sector. The Act empowers the Australian Prudential Regulation Authority (APRA) to maintain a register of entities and a list of their names, ensuring that all relevant information is systematically collected and updated. This legislative measure was introduced to address the need for comprehensive and current data to support effective regulatory monitoring and intervention, thereby safeguarding the financial system against systemic risks. The policy objective is to foster a stable and well-regulated financial environment by enabling APRA to keep abreast of changes within the sector and respond proactively to emerging issues.

Scope and Application

The Financial Sector (Collection of Data) Act 2001 applies to entities within the financial sector, requiring them to provide specified data to the Australian Prudential Regulation Authority (APRA). The Act mandates that APRA maintains a Register of Entities, which includes details of all registrable corporations. The Act's application extends to entities that are subject to prudential regulation, ensuring that APRA has the necessary data to oversee these entities effectively. This legislative framework allows APRA to add or remove entities from the register as required, such as when a corporation like Goldman Sachs Mortgage Company becomes a registrable entity and subsequently a registered entity. The Act's jurisdiction covers the Commonwealth, with its provisions applying nationally to all entities within the financial sector. The list of registered entities is updated through subordinate instruments like the one issued by Barton Ashcroft, ensuring that the register reflects the current status of all entities subject to the Act.

Key Provisions

The key operative sections of this legislation concern the amendment of the list of registered entities maintained by the Australian Prudential Regulation Authority (APRA) under the Financial Sector (Collection of Data) Act 2001. Section 11 of the Act mandates that APRA maintains a list of registered entities, and this notice under subsection 11(2) of the Act varies that list by adding the name of Goldman Sachs Mortgage Company. This addition follows the corporation's fulfilment of the criteria for registrable entities as defined in section 7 of the Act. Under section 8 of the Act, APRA also maintains a register of entities, and the inclusion of Goldman Sachs Mortgage Company in this register is confirmed by the addition of the corporation's details under paragraph 10(a) of the Act. This process is formalised through the notice issued by Barton Ashcroft, a delegate of APRA, dated 13 August 2015. The obligations imposed on the parties governed by this Act include the requirement for APRA to maintain accurate and up-to-date records of registered entities. This encompasses not only the inclusion of new entities but also the regular review and update of the list as entities change their status or details. APRA is tasked with ensuring that the list reflects the current state of registered entities in accordance with the criteria set out in the Act. This administrative duty is critical for regulatory oversight and compliance within the financial sector. Additionally, entities such as Goldman Sachs Mortgage Company must meet the specific criteria outlined in the Act to qualify for registration, thereby ensuring that only entities meeting the necessary standards are included in the regulatory framework. In terms of potential breaches and the associated consequences, the Act does not explicitly outline specific offences or penalties within this notice. However, the Act generally provides for a range of enforcement actions against entities that fail to comply with registration requirements or other provisions of the Act. These can include administrative penalties, fines, or more severe legal actions depending on the nature and severity of the breach. For instance, section 15 of the Act empowers the Australian Securities and Investments Commission (ASIC) to take action against entities that fail to comply with data collection requirements, which could result in significant fines and other sanctions. Therefore, entities must ensure strict adherence to the registration and reporting requirements to avoid any legal repercussions.