Document ID: chunk:federal_register_of_legislation:C2010C00224:clause:1_21:p1
Version: federal_register_of_legislation:C2010C00224
Segment Type: clause
Provision Reference: sch 1 cl 21 (pt 1/2)
Character Range: 13934–16533

21  Court power of disqualification

 (1) On application by APRA, the Federal Court of Australia may, by order, disqualify a person from being or acting as a person referred to in subsection (2), for a period that the Court considers appropriate, if the Court is satisfied that:
 (a) the person is not a fit and proper person to be or act as such a person; and
 (b) the disqualification is justified.

 (2) For the purposes of subsection (1), the Court may disqualify a person from being or acting as one or more of the following:
 (a) a director or senior manager of:
 (i) a particular ADI; or
 (ii) a class of ADIs; or
 (iii) any ADI;
  (other than a particular foreign ADI, a class of foreign ADIs or any foreign ADI);
 (b) a senior manager of the Australian operations of:
 (i) a particular foreign ADI; or
 (ii) a class of foreign ADIs; or
 (iii) any foreign ADI;
 (c) a director or senior manager of:
 (i) a particular authorised NOHC; or
 (ii) a class of authorised NOHCs; or
 (iii) any authorised NOHC;
 (d) an auditor of:
 (i) a particular ADI or a particular authorised NOHC; or
 (ii) a class of ADIs or a class of authorised NOHCs; or
 (iii) any ADI or any authorised NOHC.

 (3) In deciding whether it is satisfied as mentioned in paragraph (1)(a), the Court may take into account:
 (a) any matters specified in the regulations for the purposes of this paragraph; and
 (b) any criteria for fitness and propriety set out in the prudential standards; and
 (c) any other matters the Court considers relevant.

 (4) In deciding whether the disqualification is justified as mentioned in paragraph (1)(b), the Court may have regard to:
 (a) if the application is for the person to be disqualified from being or acting as a director or senior manager—the person's conduct in relation to the management, business or property of any corporation; and
 (b) if the application is for the person to be disqualified from being or acting as an auditor—the person's conduct in relation to the functions or duties of the person as required under this Act and the prudential standards; and
 (c) in any case—any other matters the Court considers relevant.

 (5) As soon as practicable after the Court disqualifies a person under this section, APRA must cause particulars of the disqualification:
 (a) to be given:
 (i) if the person is, or is acting as, a person referred to in subparagraph (2)(a)(i)—to the ADI concerned; or
 (ii) if the person is, or is acting as, a person referred to in subparagraph (2)(b)(i)—to the foreign ADI concerned; or
 (iii) if the person is, or is acting as, a person referred