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COMMONWEALTHAct
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s 62ZON

Administrator in control—additional duties where action may affect financial system stability in Australia

In force
Part VBJudicial management, statutory management, other external administration and winding up
Division 1AStatutory management of general insurers
Subdivision BProvisions dealing with control of a body corporate’s business by an Insurance Act statutory manager

62ZON Administrator in control—additional duties where action may affect financial system stability in Australia

(1)

If an administrator of a body corporate’s business has reasonable cause to believe that an action that the administrator proposes to take is an action that is likely to have a detrimental effect on financial system stability in Australia, the administrator must:

(a)

notify APRA as soon as practicable; and

(b)

obtain APRA’s written consent before taking the action.

(2)

The administrator is not required to comply with subsection (1) if the administrator is satisfied that it is not reasonably practicable to do so, having regard to urgency or other similar constraint.

(3)

The performance of a function or the exercise of a power by an administrator is not invalid merely because of a failure by the administrator to comply with this section.

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