Document ID: chunk:federal_register_of_legislation:C2025C00135:section:125a
Version: federal_register_of_legislation:C2025C00135
Segment Type: section
Provision Reference: s 125A
Character Range: 202856–205389

125A  APRA may direct removal of auditor or actuary
 (1) APRA may, if satisfied there is a ground under subsection (2), give a written direction to a body corporate that is a life company or a registered NOHC to end the appointment of a person as:
 (a) an auditor of the body; or
 (b) the appointed actuary of the body, if it is a life company.
 (2) The grounds for giving a direction to end a person's appointment are:
 (a) either:
 (i) for a person who is a disqualified person only because he or she was disqualified under section 245A—the person is disqualified from being or acting as an auditor or actuary of the body; or
 (ii) otherwise—the person is a disqualified person; or
 (b) the person is not a fit and proper person to hold the appointment; or
 (c) the person has failed to perform adequately and properly the duties or functions of the appointment under this Act, the regulations, the Financial Sector (Collection of Data) Act 2001 or the Financial Accountability Regime Act 2023.
 (3) Before directing a body corporate to end a person's appointment, APRA must:
 (a) give written notice to:
 (i) the body corporate; and
 (ii) the person; and
 (b) give the body corporate and the person a reasonable opportunity to make submissions on the matter.
 (4) The notice must include a statement that any submissions in response to the notice may be discussed by APRA with other persons as mentioned in paragraph (5)(b).
 (5) If a submission is made in response to the notice, APRA:
 (a) must have regard to the submission; and
 (b) may discuss any matter contained in the submission with any persons APRA considers appropriate for the purpose of assessing the truth of the matter.
 (6) A direction to end a person's appointment takes effect on the day specified in the direction, which must be at least 7 days after the direction is made.
 (7) If APRA directs a body corporate to end a person's appointment, APRA must give the body corporate and the person a copy of the direction.
 (8) A direction to end a person's appointment is not a legislative instrument.
 (9) A body corporate commits an offence if:
 (a) the body corporate does or fails to do an act; and
 (b) by doing or failing to do the act, the body corporate fails to comply with a direction under this section.
Penalty: 60 penalty units.
 (10) Subsection (9) is an offence of strict liability.
Note: For strict liability, see section 6.1 of the Criminal Code.

Part 7—Monitoring and investigation of life companies and registered NOHCs

Division 1—Preliminary