Document ID: chunk:federal_register_of_legislation:F2023C00836:front:0:p1
Version: federal_register_of_legislation:F2023C00836
Segment Type: other
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Character Range: 0–3303

ASIC Corporations (Hardship Withdrawals Relief) Instrument 2020/778

About this compilation

Compilation No. 1

This is a compilation of ASIC Corporations (Hardship Withdrawals Relief) Instrument 2020/778 as in force on 1 September 2023. It includes any commenced amendment affecting the legislative instrument to that date.

This compilation was prepared by the Australian Securities and Investments Commission.

The notes at the end of this compilation (the endnotes) include information
about amending instruments and the amendment history of each amended provision.

Contents

Contents

Part 1—Preliminary
1 Name of legislative instrument
3 Authority
4 Definitions
Part 2—Exemption
5 Equality of treatment—hardship withdrawal payments
Part 3—Declaration
6 Scheme constitutions and hardship withdrawals
7 Hardship withdrawals
Part 4—Cessation
8 Cessation
Endnotes
Endnote 1—Instrument history
Endnote 2—Amendment history

Part 1—Preliminary

1 Name of legislative instrument
This is the ASIC Corporations (Hardship Withdrawals Relief) Instrument 2020/778.

3 Authority
This instrument is made under subsection 601QA(1) of the Corporations Act 2001.

4 Definitions
In this instrument:
Act means the Corporations Act 2001.
excluded scheme means a registered scheme that is any of the following:
           (a) an IDPS-like scheme (within the meaning of ASIC Corporations (Investor Directed Portfolio Services Provided Through a Registered Managed Investment Scheme) Instrument 2023/668);
           (b) a mortgage investment scheme (within the meaning of ASIC Corporations (Mortgage Investment Schemes) Instrument 2017/857);
           (c) a registered litigation funding scheme (within the meaning of ASIC Corporations (Litigation Funding Schemes) Instrument 2020/787) that involves representative proceedings (within the meaning of ASIC Corporations (Litigation Funding Schemes) Instrument 2020/787);
           (d) a registered time-sharing scheme (within the meaning of ASIC Corporations (Time-sharing Schemes) Instrument 2017/272).
frozen scheme means a registered scheme for which the responsible entity of the scheme has:
           (a) suspended withdrawals (other than any hardship withdrawals) from the scheme; and
           (b) ceased to allow the issue of new interests in the scheme.
hardship withdrawal has the same meaning as in subsection 601KEB(1) of the Act (as notionally inserted by this instrument).

       Part 2—Exemption

5 Equality of treatment—hardship withdrawal payments
The responsible entity of a frozen scheme does not have to comply with paragraph 601FC(1)(d) of the Act to the extent that the requirement to treat members in the same class equally would prevent the responsible entity from allowing a member to withdraw in accordance with section 601KEB of the Act, as notionally inserted by this instrument.

Part 3—Declaration

6 Scheme constitutions and hardship withdrawals
Chapter 5C of the Act applies to the responsible entity of a registered scheme (other than an excluded scheme) as if Part 5C.3 of the Act were modified or varied as follows:
(a) insert the following section in its relative order in Part 5C.3:
              "601GAH Discretions in relation to hardship withdrawals
              (1) Despite subsection 601GA(4), the constitution does