Document ID: chunk:federal_register_of_legislation:F2024C01249:reg:1:p85
Version: federal_register_of_legislation:F2024C01249
Segment Type: reg
Provision Reference: reg 1 (pt 85/148)
Character Range: 544390–546972

entity that is a liable entity entered in the information database under section 183 of the Clean Energy Act 2011.

Division 5—Custodial or depository services

7.1.40  Conduct that does not constitute the provision of a custodial or depository service
 (1) For paragraph 766E(3)(e) of the Act, conduct that is mentioned in subsection 766E(1) of the Act does not constitute providing a custodial or depository service if:
 (a) the financial product held by the provider is a basic deposit product or is an account mentioned in subsection 981B(1) of the Act; or
 (b) the client is an associate of the provider (within the meaning of Division 2 of Part 1.2 of the Act); or
 (c) the provider and its associates have no more than 20 clients in aggregate for all custodial or depository services that they provide; or
 (d) the financial product is held as part of the arrangements for securing obligations under:
 (i) a credit facility; or
 (ii) a debenture that is held as trustee under a trust deed:
 (A) entered into under section 283AA of the Act or former section 260FA of the Corporations Law of a State or Territory; or
 (B) mentioned in former section 1052 of the Corporations Law of a State or Territory; or
 (e) the provider is a participant in a licensed market and the financial product held is a derivative acquired on the licensed market by the provider on behalf of a client; or
 (f) the provider is a participant in a licensed clearing and settlement facility and the financial product held is a derivative registered on the licensed clearing and settlement facility by the provider on behalf of the client; or
 (g) the financial product is held under:
 (i) an order of a court; or
 (ii) an order of a board or tribunal established under a law of a State or Territory; or
 (iii) a direction by the holder of a statutory office established under a law of a State or Territory; or
 (h) the service is provided by a lawyer in the following circumstances:
 (i) the financial service consists of acquiring, holding or disposing of a cash management trust interest, being an interest to which a law of a State or Territory relating to the audit of trust or controlled monies applies;
 (ii) the lawyer is acting:
 (A) on instructions from the client, an associate of the client or a relative of the client; and
 (B) in his or her professional capacity; and
 (C) in the ordinary course of his or her activities as a lawyer;
 (iii) the financial service can reasonably be regarded as a necessary part of those activities;
 (iv) the lawyer has not received, and will not receive, a