Document ID: chunk:federal_register_of_legislation:C2005C00498:clause:1_882b
Version: federal_register_of_legislation:C2005C00498
Segment Type: clause
Provision Reference: sch 1 cl 882B
Character Range: 209436–210957

882B  How to get compensation arrangements approved after licence is granted

 (1) If the operator of a licensed market wants to have compensation arrangements for the market approved after the licence has been granted, the operator must apply for approval in accordance with this section.

 (2) The application must:
 (a) contain the information, in relation to the proposed compensation arrangements, required by regulations made for the purposes of this paragraph and be accompanied by a copy of the proposed compensation rules; and
 (b) be made to the Minister by lodging the application with ASIC.

Note: For fees in respect of lodging applications, see Part 9.10.

 (3) If the Minister does not consider that the proposed compensation arrangements are adequate, the application for approval must be rejected.

 (4) If the Minister considers that the proposed compensation arrangements are adequate, the Minister must:
 (a) approve the compensation arrangements in writing; and
 (b) vary the conditions of the operator's licence so as to:
 (i) deal with the minimum amount of cover required in relation to the compensation arrangements in such manner as the Minister thinks appropriate; and
 (ii) identify the source of funds available to cover claims, on the basis of which the Minister approves the arrangements (see section 885H).

 (5) In varying licence conditions as mentioned in paragraph (4)(b), the Minister must proceed under section 796A as though the licensee had applied for the variation to be made.