Document ID: chunk:federal_register_of_legislation:C2018A00005:clause:1_18
Version: federal_register_of_legislation:C2018A00005
Segment Type: clause
Provision Reference: sch 1 cl 18
Character Range: 48111–49507

18  Application to small and medium ADIs
(1) Despite item 15 and subitem 16(1), Part IIAA of the Banking Act 1959 as inserted by this Act applies in relation to the following on and after 1 July 2019:
 (a) a medium ADI;
 (b) a small ADI;
 (c) an accountable person of a medium ADI;
 (d) an accountable person of a small ADI.
(2) Despite subitem (1), if:
 (a) an accountable person's variable remuneration is payable under a contract entered into before the commencement of Part IIAA of the Banking Act 1959 as inserted by this Act; and
 (b) apart from this subitem, the application of Division 4 of that Part in relation to the variable remuneration would result in an acquisition of property (within the meaning of paragraph 51(xxxi) of the Constitution) from a person otherwise than on just terms (within the meaning of that paragraph);
that Division does not apply in relation to the variable remuneration to the extent that it would result in such an acquisition.
Note: Because this subitem prevents Division 4 of Part IIAA of the Banking Act 1959 from giving rise to such an acquisition of property in relation to variable remuneration payable under such a contract, compensation will not be payable under section 69E of that Act.
(3) Despite item 17, transitional requirements determined by APRA under that item apply in relation to a medium ADI, or a small ADI, on and after 1 July 2019.