Document ID: chunk:federal_register_of_legislation:F2023L01535:body:0:p16
Version: federal_register_of_legislation:F2023L01535
Segment Type: other
Provision Reference: 
Character Range: 41756–44789

an officer of, or otherwise associated directly with, a substantial shareholder of the institution;
2.             is employed, or has previously been employed in an executive capacity by the APRA-regulated institution or another member of the group, and there has not been a period of at least three years between ceasing such employment and serving on the Board;
3.             has within the last three years been a principal of a material professional adviser or a material consultant to the APRA-regulated institution or another member of the group, or an employee materially associated with the service provided;
4.             is a material supplier or customer of the APRA-regulated institution or another member of the group, or an officer of or otherwise associated directly or indirectly with a material supplier or customer; or
5.             has a material contractual relationship with the APRA-regulated institution or another member of the group other than as a director.

Attachment B – Compliance Committee for eligible foreign life insurance companies

Purpose of the Compliance Committee
     1. The purpose of the Compliance Committee (referred to in this Attachment as 'the Committee') is to:
       (a)          ensure the eligible foreign life insurance company (EFLIC) complies with the requirements in, or imposed under, the Life Insurance Act; and
       (b)          assist the Board in meeting its responsibilities under the Life Insurance Act.
2.             As required by subsections 16ZF(1) and (4) of the Life Insurance Act, the Board must delegate sufficient powers of management to the members of the Committee to enable Committee members to ensure that the EFLIC complies with the requirements in, or imposed under, the Life Insurance Act. The Board must do so irrespective of anything to the contrary in the EFLIC's constitution.

Continuing responsibility of the Board
3.             Establishment of the Committee does not free the Board from ultimate responsibility for ensuring the Australian branch of the EFLIC complies with the requirements in, or imposed under, the Life Insurance Act.
4.             In recognition of this, the Board must:
       (a)          have the power to appoint and remove, at its discretion, members of the Committee, as long as certain composition and residency requirements pertaining to the Committee continue to be met (refer to paragraphs 5 to 8 of this Attachment);
       (b)          ensure that the delegation of relevant managerial powers (of the kind referred to in paragraph 16ZF(1)(a) and (b) of the Life Insurance Act) is not irrevocable, and that the Board retains the powers delegated; and
       (c)          establish adequate procedures for monitoring and supervising the operation of the Committee, as well as assessing its performance.

Composition and residency status of Committee members
5.             The Committee must comprise at least five members appointed by the Board. Those members must include:
       (a)          at least one