Document ID: chunk:federal_register_of_legislation:F2024C01249:reg:4:p45
Version: federal_register_of_legislation:F2024C01249
Segment Type: reg
Provision Reference: reg 4 (pt 45/49)
Character Range: 1094120–1096868

subregulation (18).
Note: For strict liability, see section 6.1 of the Criminal Code.
 (21) If:
 (a) under subregulation (2), (3), (6) or (9), a financial services licensee is required to pay an amount to, or to notify, an insurer; and
 (b) under the contract or proposed contract of insurance concerned the insurer is an underwriting member of Lloyd's;
it is sufficient compliance with the subregulation if the financial services licensee pays the amount to, or notifies, as the case may be, the Lloyd's broker concerned.

Division 4A—Special provisions relating to margin lending facilities

Subdivision A—Responsible lending conduct for margin lending facilities

7.8.08A  Limit of margin lending facility taken to be increased
 (1) For paragraph 985E(3)(a) of the Act, the limit of a margin lending facility is taken to be increased, despite subsection 985E(2) of the Act, if:
 (a) the increase is a result of a contribution of further secured property or transferred securities that occurs without the prior knowledge or agreement of the provider; and
 (b) the provider permits the increase to continue; and
 (c) the increase is no more than 5% of the current limit of the margin lending facility.
 (2) If the limit of a margin lending facility is taken to be increased in the circumstances mentioned in subregulation (1), subsection 985E(1) of the Act is modified by omitting 'before the critical day:' and inserting 'after the critical day:'.
Note: Paragraph 992C(1)(c) of the Act provides that the regulations may provide that Part 7.8 of the Act applies as if specified provisions were omitted, modified or varied as specified in the regulations.
 (3) For subregulation (1), if:
 (a) more than one contribution of further secured property or transferred securities under the margin lending facility occurs on a day; and
 (b) each of the contributions is taken to increase the limit of the facility; and
 (c) either:
 (i) the cumulative increase is no more than 5% of the current limit of the margin lending facility; or
 (ii) if the cumulative increase is more than 5% of the current limit of the margin lending facility, the provider ensures that the increases are reduced so that the cumulative increase becomes no more than 5% of the current limit of the margin lending facility;
the increases are taken to be one increase for this regulation.

Increase prior to assessment only to occur once
 (4) Subregulation (5) applies if:
 (a) the limit of a margin lending facility is taken to be increased in the circumstances mentioned in subregulation (1); and
 (b) an assessment has not yet been made in accordance with section 985F of the Act.
 (5) If the limit of the margin lending facility would be taken to increase further in accordance