Banking Act 1959

Subdiv B heading substituted by No 10 of 2018, s 3 and Sch 1 item 104, effective 5 March 2018. For application provisions, see note under Subdiv D heading of Pt II Div 1BA. The heading formerly read:

Subdivision B - Provisions dealing with control of an ADI ' s business by an ADI statutory manager

S 14C(1) substituted by No 10 of 2018, s 3 and Sch 1 item 149, effective 5 March 2018. For application provisions, see note under Subdiv D heading of Pt II Div 1BA. S 14C(1) formerly read:

(1) Liability for loss due to fraud etc.  

If an ADI incurs any loss because of any fraud, dishonesty, negligence or wilful failure to comply with this Act by the ADI statutory manager, the ADI statutory manager is liable for the loss.

S 14C(2) substituted by No 10 of 2018, s 3 and Sch 1 item 149, effective 5 March 2018. For application provisions, see note under Subdiv D heading of Pt II Div 1BA. S 14C(2) formerly read:

(2) Other losses  

An ADI statutory manager is not liable for a loss that is not a loss incurred because of fraud, dishonesty, negligence or wilful failure to comply with this Act. If the ADI statutory manager is an administrator of the ADI ' s business, the administrator must provide details of the loss in a written report to APRA. However, failure to do so does not make the administrator liable for the loss.

S 14C(3) amended by No 6 of 2020, s 3 and Sch 1 item 79, by inserting " , 588GAB or 588GAC " , effective 18 February 2020.

S 14C(3) substituted by No 10 of 2018, s 3 and Sch 1 item 149, effective 5 March 2018. For application provisions, see note under Subdiv D heading of Pt II Div 1BA. S 14C(3) formerly read:

(3) Subsections (1) and (2) apply instead of general indemnity provisions  

The question whether an ADI statutory manager is liable for a loss is to be determined in accordance with subsections (1) and (2), rather than in accordance with section 70A of this Act or section 58 of the Australian Prudential Regulation Authority Act 1998 .

S 14C(4) repealed by No 10 of 2018, s 3 and Sch 1 item 149, effective 5 March 2018. For application provisions, see note under Subdiv D heading of Pt II Div 1BA. S 14C(4) formerly read:

(4) ADI statutory manager not liable under section 588G of the Corporations Act 2001  

An ADI statutory manager is not to be taken to be a director for the purposes of section 588G of the Corporations Act 2001 .

S 14C(5) amended by No 10 of 2018, s 3 and Sch 1 item 150, by substituting " Banking Act statutory managers " for " ADI statutory managers " , effective 5 March 2018. For application provisions, see note under Subdiv D heading of Pt II Div 1BA.