Document ID: chunk:federal_register_of_legislation:C2005C00502:clause:1_49a
Version: federal_register_of_legislation:C2005C00502
Segment Type: clause
Provision Reference: sch 1 cl 49A
Character Range: 60480–62855

49A  Additional duty of auditors and actuaries to give information

 (1) This section applies to a person who is or was an auditor or actuary of:
 (a) a general insurer (whether or not the person was appointed under section 39); or
 (b) an authorised NOHC; or
 (c) a subsidiary of a general insurer or authorised NOHC.

 (2) If the person has reasonable grounds for believing that:
 (a) the insurer, NOHC or subsidiary is insolvent, or there is a significant risk that it will become insolvent; or
 (b) the insurer, NOHC or subsidiary has failed to comply with the prudential standards or:
 (i) in the case of an insurer—the insurer has failed to comply with a condition of its authorisation under section 12; or
 (ii) in the case of an authorised NOHC—the NOHC has failed to comply with a condition of its authorisation under section 18; or
 (c) the insurer, NOHC or subsidiary has failed to comply with a requirement or direction under this Act or a requirement under the Financial Sector (Collection of Data) Act 2001; or
 (d) an existing or proposed state of affairs may materially prejudice the interests of:
 (i) in the case of an auditor or actuary of a general insurer or of a subsidiary of a general insurer—the insurer's policyholders; or
 (ii) in the case of an auditor or actuary of an authorised NOHC or of a subsidiary of an authorised NOHC—the policyholders of any general insurer who is a subsidiary of the NOHC; or
 (e) the general insurer, NOHC or subsidiary:
 (i) has contravened this Act or any other law; and
 (ii) the contravention is of such a nature that it may affect significantly the interest of policyholders of the general insurer or of a general insurer that is a subsidiary of the NOHC;
the person must give APRA information (in writing) about the matter unless there is a determination in force under subsection 7(1) that this subsection does not apply to the person.

 (3) A person commits an offence if the person contravenes subsection (2).

Maximum penalty: Imprisonment for 6 months, or 100 penalty units, or both.

 (4) A person commits an offence if the person contravenes subsection (2). This is an offence of strict liability.

Maximum penalty: 60 penalty units.

Note 1: For strict liability, see section 6.1 of the Criminal Code.

Note 2: Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.