Document ID: chunk:federal_register_of_legislation:F2023C00836:front:0:p2
Version: federal_register_of_legislation:F2023C00836
Segment Type: other
Provision Reference: 
Character Range: 3025–6058

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 not have to set out adequate procedures for making and dealing with withdrawal requests to the extent that, in relation to a hardship withdrawal request under section 601KEB for which the requirements set out in the constitution for allowing the hardship withdrawal request are otherwise satisfied, the constitution gives the responsible entity a discretion to do one or both of the following:
                  (a)          decide whether to allow or refuse the hardship withdrawal request;
                  (b) decide whether to allow the hardship withdrawal request in whole or in part.
              Exercise of discretion must be reasonable
              (2) The responsible entity must act reasonably in exercising a discretion covered by subsection (1).
Note: The responsible entity is also subject to its general duties under section 60IFC including the duty to act in the best interests of the members of the scheme.";
           (b) after subsection 601GC(1), insert:
"(1A) The constitution of a registered scheme may also be modified, or repealed and replaced with a new constitution by the responsible entity in accordance with section 601GCC.";
           (c) insert the following section in its relative order in Part 5C.3:
           "601GCC Changing the scheme constitution to enable hardship withdrawals
              (1) Subject to subsection (2), the responsible entity of a registered scheme may modify the constitution of the scheme to the extent that the responsible entity reasonably considers that the modification is necessary for, or incidental to, the responsible entity being able to allow a member to withdraw under a hardship withdrawal in accordance with section 601KEB.
              (2) The responsible entity may modify the constitution under subsection (1) where:
(a) the responsible entity has given members of the scheme written notice of the modification by sending each member by post or by email a copy of a notice that complies with subsection (3); and
                     Note: A single notice could be used for the purposes of paragraph (a) and paragraph 601KEB(2)(b).
(b) the responsible entity has published a notice that complies with subsection (3) on its website:
                     (i) no later than the date it gives written notice under paragraph (a); and
                     (ii) in a way that it is likely to come to the attention of a person looking for information about the scheme on the website; and
 (c) as at a date (relevant date) that is:
                     (i) specified in the notices provided under paragraphs (a) and (b); and
                     (ii) at least 14 days after the responsible entity gives notice to members under paragraph (a);
the responsible entity has not received