Additional conditions imposed on individual licences by APRA
29EA Additional conditions imposed on individual licences by APRA
APRA may, at any time, impose an additional condition on an RSE licence by giving the RSE licensee a notice setting out the additional condition.
A condition imposed under subsection (1) must not be inconsistent with any condition imposed by, or under, section 29E on an RSE licence.
Breach of a licence condition may lead to consequences such as a direction from APRA to comply with the condition (see Division 1 of Part 16A) or cancellation of the licence (see section 29G).
An RSE licensee must notify APRA if the RSE licensee breaches a licence condition: see section 29JA.
RSE licensees may apply to APRA to have conditions imposed under this section varied or revoked: see section 29F.
A condition may be expressed to have effect despite anything in the prudential standards.
If:
a condition is expressed to have effect as mentioned in subsection (2A); and
a provision of the prudential standards (the inconsistent provision) is inconsistent with the condition to any extent;
the inconsistent provision is to be disregarded to the extent of the inconsistency in determining, for the purposes of any law of the Commonwealth, whether the RSE licensee has complied with its obligations under the prudential standards.
Without limiting subsection (1), an additional condition imposed under that subsection on an RSE licence may provide that the body corporate that is the RSE licensee, or each of the members of a group of individual trustees that is the RSE licensee, must not act as a trustee under that RSE licence for a registrable superannuation entity other than:
a registrable superannuation entity specified in the condition; or
a registrable superannuation entity included in the class of registrable superannuation entities specified in the condition.
Without limiting subsection (1), an additional condition imposed under that subsection on an RSE licence may provide that the RSE licensee must ensure that a fund specified in the condition, or in a class of funds specified in the condition, must comply with the alternative agreed representation rules whenever section 92 applies to the fund. However, before imposing such a condition, APRA must have regard to any written guidelines determined by APRA under this subsection.
If the RSE licensee is also a financial services licensee:
APRA must consult ASIC before imposing a condition that, in APRA’s opinion, might reasonably be expected to affect the RSE licensee’s ability to provide one or more of the financial services (within the meaning of the Corporations Act 2001) that the RSE licensee provides; and
APRA must inform ASIC about the imposition of any condition not covered by paragraph (a) within one week after the condition is imposed.
A failure to comply with a requirement of subsection (5) does not invalidate the imposition of any condition.
An additional condition imposed under this section comes into force on the later of:
the day on which APRA gives the RSE licensee the notice of the condition; or
the day specified in the notice as the day on which the condition comes into force.
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.