SUPERANNUATION INDUSTRY (SUPERVISION) ACT 1993

PART 2A - LICENSING OF TRUSTEES AND GROUPS OF INDIVIDUAL TRUSTEES  

Division 5 - Conditions on RSE licences  

SECTION 29E   CONDITIONS IMPOSED ON ALL LICENCES AND ON GROUPS OF LICENCES  

29E(1)   Conditions imposed on all RSE licences.  

The following conditions are imposed on all RSE licences:


(a) the RSE licensee and, if the RSE licensee is a group of individual trustees, each of the members of the group, must comply with the RSE licensee law;


(b) the duties of a trustee in respect of each registrable superannuation entity of which it is an RSE licensee must be properly performed by:


(i) if the RSE licensee is a body corporate - the body corporate; or

(ii) if the RSE licensee is a group of individual trustees - each of the members of the group;


(ba) the RSE licensee must:


(i) have an ABN; or

(ii) have made an application for an ABN that has not been refused under the A New Tax System (Australian Business Number) Act 1999 ;


(c) (Repealed by No 117 of 2012)


(d) the RSE licensee must ensure that each registrable superannuation entity of which it is the RSE licensee is:


(i) registered under Part 2B ; or

(ii) the subject of an application for registration under Part 2B that has not been finally determined or otherwise disposed of;


(e) (Repealed by No 117 of 2012)


(ea) the RSE licensee must ensure that each registrable superannuation entity of which it is an RSE licensee has an ABN;


(f) the RSE licensee must notify APRA of any change in the composition or control of the RSE licensee (see subsection (2)) within 14 days after the change takes place;


(g) the RSE licensee must comply with any other conditions prescribed by regulations made for the purposes of this paragraph.

Note 1:

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 ).

Note 2:

An RSE licensee must notify APRA if the RSE licensee breaches a licence condition: see section 29JA .

Note 3:

Additional conditions may be imposed on various types of RSE licences (see subsections (3) to (7)) or a particular RSE licence (see section 29EA ).

29E(2)   Change in the composition of the RSE licensee.  

For the purposes of paragraph (1)(f), a change in the composition or control of the RSE licensee is:


(a) if the RSE licensee is a body corporate:


(i) a person becoming, or ceasing to be, a director of the RSE licensee; or

(ii) a person ' s stake in the RSE licensee changing; or


(b) if the RSE licensee is a group of individual trustees - an individual becoming, or ceasing to be, a member of the group.

29E(3)  


An additional condition is imposed on each RSE licence that enables a trustee that holds a licence of that class to be a trustee of a public offer entity. The condition is that the RSE licensee that holds the licence must continue to be a constitutional corporation.

29E(4)   Licences held by RSE licensees that are not constitutional corporations.  

The following additional condition is imposed on each RSE licence that is not held by a constitutional corporation:


(a) if the RSE licensee that holds the licence is a body corporate - that the body; or


(b) if the RSE licensee is a group of individual trustees - that the members of the group;

only act as a trustee of superannuation funds that have governing rules providing that the sole or primary purpose of the fund is the provision of old-age pensions.

29E(5)   Licences held by groups of individual trustees.  

The following additional conditions are imposed on each RSE licence held by a group of individual trustees:


(a) the members of the group must make all reasonable efforts to ensure that the group always has at least 2 members;


(b) any continuous period for which the group has less than 2 members must be 90 days or less.

Note:

Paragraph 29E(1)(f) requires APRA to be notified of any change in the composition of the RSE licensee.

29E(6)   Licences held by RSE licensees of transferee funds.  

An additional condition is imposed on each RSE licence held by an RSE licensee of a fund that has had benefits of members and beneficiaries transferred to it from a transferor fund under Part 18 (whether while the RSE licensee was the RSE licensee of the fund or earlier). The condition is that, while the RSE licensee is the RSE licensee of the fund, the RSE licensee assumes the obligation to pay benefits to those who were members or beneficiaries of the transferor fund immediately before the transfer.

RSE licensees authorised to offer MySuper products

29E(6A)  


The following additional conditions are imposed on each RSE licensee that is authorised to offer a class of beneficial interest in a regulated superannuation fund as a MySuper product:


(a) the RSE licensee must ensure that the governing rules of the fund are not varied so that section 29TC is no longer satisfied in relation to that class of interest;


(b) the RSE licensee must ensure that the governing rules of the fund relating to that class of interest are not contravened.

RSE licensees who apply for authority to offer MySuper product

29E(6B)  


An additional condition is imposed on each RSE licensee who makes an application under section 29S for authority to offer a class of beneficial interest in a regulated superannuation fund as a MySuper product. The condition is that the RSE licensee must give effect to elections made in accordance with sections 29SAA , 29SAB and 29SAC . RSE licensees who apply for authority to operate eligible rollover funds

29E(6C)  


An additional condition is imposed on each RSE licensee who makes an application under section 242A for authority to operate a regulated superannuation fund as an eligible rollover fund. The condition is that the RSE licensee must give effect to an election made in accordance with section 242B . RSE licensees authorised to operate eligible rollover funds

29E(6D)  


An additional condition is imposed on each RSE licensee that is authorised to operate a regulated superannuation fund as an eligible rollover fund. The condition is that the RSE licensee must ensure that the governing rules of the fund are not varied so that:


(a) the only purpose of the fund is no longer to be a temporary repository for amounts transferred to the fund from other regulated superannuation funds in circumstances allowed by the RSE licensee law; or


(b) a single diversified investment strategy is no longer adopted in relation to assets of the fund.

Complying with rules relating to merging multiple accounts in a superannuation entity

29E(6E)  


The following additional condition is imposed on each RSE licence that relates to a superannuation entity for which the RSE licensee has obligations under section 108A . The condition is that the RSE licensee must ensure that the rules that that section requires in relation to the superannuation entity are complied with.

29E(7)   Prescribed conditions imposed on classes of licences.  

An additional condition prescribed by a regulation made for the purposes of this subsection as a condition applying to all RSE licences of a specified class is imposed on each RSE licence of that class.

29E(8)  
A specified class mentioned in subsection (7) may be a class other than a class provided for under subsection 29B(2) or (3) or under regulations made for the purposes of subsection 29B(4) .




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