Document ID: chunk:federal_register_of_legislation:F2025C00069:reg:8:p34
Version: federal_register_of_legislation:F2025C00069
Segment Type: reg
Provision Reference: reg 8 (pt 34/41)
Character Range: 717478–720062

not be stored in private residence of related party
 (3) Each trustee of a regulated superannuation fund that is a self managed superannuation fund commits an offence if:
 (a) the fund holds an investment involving a section 62A item; and
 (b) the item is stored in the private residence of a related party of the fund.
Penalty: 10 penalty units.
Note: Related party is defined in subsection 10(1) of the Act.

Decision on storage of item must be documented
 (4) Each trustee of a regulated superannuation fund that is a self managed superannuation fund commits an offence if:
 (a) the fund holds an investment involving a section 62A item; and
 (b) the trustee or trustees of the fund make a decision relating to the storage of the item; and
 (c) either:
 (i) a written record of the reasons for the decision is not made; or
 (ii) if a written record of the reasons is made—the record is not kept for at least 10 years after the decision.
Penalty: 10 penalty units.

Item must be insured in fund's name
 (5) Each trustee of a regulated superannuation fund that is a self managed superannuation fund commits an offence if:
 (a) the fund owns a section 62A item, other than a membership of a sporting or social club; and
 (b) it is more than 7 days since the fund acquired the item; and
 (c) the item is not insured in the name of the fund.
Penalty: 10 penalty units.

Item must not be used by related party
 (6) Each trustee of a regulated superannuation fund that is a self managed superannuation fund commits an offence if:
 (a) the fund holds an investment involving a section 62A item; and
 (b) a related party of the fund uses the item.
Penalty: 10 penalty units.
Note: Related party is defined in subsection 10(1) of the Act.

Transfer of asset to related party requires independent valuation
 (7) A trustee of a regulated superannuation fund that is a self managed superannuation fund commits an offence if:
 (a) the trustee realises an investment held by the fund involving a section 62A item; and
 (b) a related party of the fund receives an interest in the item because of the realisation; and
 (c) the realisation was not at a market price determined by a qualified independent valuer.
Penalty: 10 penalty units.
Note: Related party is defined in subsection 10(1) of the Act.

Offences are strict liability offences
 (8) An offence against any of subregulations (2) to (7) is an offence of strict liability.
Note: For strict liability, see section 6.1 of the Criminal Code.

Transitional period for existing assets
 (9) Subregulations (2) to (7) do not apply in relation to