Document ID: chunk:federal_register_of_legislation:C2025C00165:section:16ba:p2
Version: federal_register_of_legislation:C2025C00165
Segment Type: section
Provision Reference: s 16BA (pt 2/3)
Character Range: 224543–227187

writing of the matter; and
 (c) the person has no reason to disbelieve the director or senior manager.
Note: The defendant bears an evidential burden in relation to the matters in subsection (5). See subsection 13.3(3) of the Criminal Code.

Matters requiring notice as soon as practicable
 (6) If the person has reasonable grounds for believing that:
 (a) the body corporate has failed or will fail to comply with:
 (i) a provision of this Act, the regulations, the Financial Sector (Collection of Data) Act 2001 or the Financial Accountability Regime Act 2023; or
 (ii) if the body corporate is an ADI or authorised NOHC, or a subsidiary of an ADI or authorised NOHC—a prudential standard; or
 (iii) if the body corporate is an ADI or authorised NOHC, or a subsidiary of an ADI or authorised NOHC—a direction under Division 1BA of Part II or section 29; or
 (iv) if the body corporate is an ADI—a condition of the body corporate's section 9 authority; or
 (v) if the body corporate is an authorised NOHC—a condition of the body corporate's NOHC authority; and
 (b) the failure to comply is or will be significant (see subsection (7));
the person must give APRA a written report about the failure as soon as practicable, and in any event no later than 10 business days.
 (7) For the purposes of paragraph (6)(b), a failure to comply is or will be significant if the failure is or will be significant having regard to any one or more of the following:
 (a) the number or frequency of similar failures;
 (b) the impact the failure has or will have on the body corporate's ability to conduct its business;
 (c) the extent to which the failure indicates that the body corporate's arrangements to ensure compliance with this Act, the prudential standards or the regulations might be inadequate;
 (d) the actual or potential financial loss arising or that will arise from the failure:
 (i) if the body corporate is an ADI—to the depositors of the body corporate; or
 (ii) to the body corporate;
 (e) any matters prescribed by the regulations for the purposes of this paragraph.

Offences in relation to matters requiring notice as soon as practicable
 (8) A person commits an offence if the person contravenes subsection (6).
Penalty: Imprisonment for 6 months.
 (9) A person commits an offence if the person contravenes subsection (6). This is an offence of strict liability.
Penalty: 60 penalty units.
Note: For strict liability, see section 6.1 of the Criminal Code.

Defence if failure already notified
 (10) Subsections (8) and (9) do not apply to a person in relation to a failure to comply referred to in subsection (6) if:
 (a) a director or