Financial Sector (Transfer and Restructure) Act 1999

This Part deals with proposals by an ADI, general insurer or life insurer (the operating body) for a restructure arrangement (under Part 5.1 of the Corporations Act 2001) that would:

make the operating body a subsidiary of a non‑operating holding company (NOHC); or

would facilitate compliance by the operating body (or a related body corporate of the operating body) with a requirement under certain directions or prudential standards.

The operating body may apply (under section 36B) to the Minister for a restructure approval, including a restructure instrument (see section 36G).

A restructure instrument gives relief to the operating body and related bodies corporate (and some other persons) from certain requirements of the Corporations Act 2001, as specified in the instrument (see section 36G).

The Minister must issue the restructure approval if specified criteria are met (see section 36C). The approval may be issued subject to conditions (see section 36E).

After the Minister issues the restructure approval, APRA may issue internal transfer certificates for the purpose of giving effect to the restructure arrangement.

An internal transfer certificate enables the transfer of assets or liabilities (or both) between 2 bodies corporate (the transferring body and the receiving body) that are part of the company group (see section 36L).

The restructure instrument comes into force when the court order providing for the restructure comes into force, if any applicable conditions of the restructure approval have been satisfied (see sections 36E and 36H).

Any transfer provided for by an internal transfer certificate comes into force as specified in the certificate (see section 36Q).