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CORPORATIONS ACT 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS    View history reference

PART 7.5 - COMPENSATION REGIMES FOR FINANCIAL MARKETS    View history reference

Division 4 - NGF Compensation regime    View history reference

Subdivision C - The NGF    View history reference

SECTION 889K  LEVY BY MARKET OPERATOR  

 View history reference

889K(1)  [Payment of contributory levy]  


An operator of a financial market who must pay an amount of levy (the primary levy amount) under section 889J may determine in writing that participants in the market must pay a levy (the contributory levy). The determination must be such that the total of the amounts of contributory levy payable by the participants does not exceed the primary levy amount. The contributory levy is payable to the operator as agent for the Commonwealth.

Note: For the imposition and amount of the levy, see the Corporations (National Guarantee Fund Levies) Act 2001.

889K(2)  [Payable by market participant]  


If a determination is made under subsection (1), the contributory levy is payable by each participant in the market who, when the determination is made, is in a class of participants in the market determined in writing by the operator for the purposes of the levy.

889K(3)  [Due date and manner for payment]  


The amount of contributory levy payable by a participant under a determination under subsection (1) must be paid within the period, and in the manner, specified in writing by the operator either generally or in relation to particular participants or classes of participants.

889K(4)  [Payment to operator as agent for Commonwealth]  


Whenever an amount of levy (the levy amount) is paid under this section, or under subsection 6(3) of the Corporations (National Guarantee Fund Levies) Act 2001, to the operator of a financial market as agent for the Commonwealth:


(a) the operator must pay an amount equal to the levy amount to the Commonwealth; and


(b) the Consolidated Revenue Fund is appropriated by that amount for the purpose of payment to the SEGC; and


(c) the Commonwealth must pay the amount so appropriated to the SEGC; and


(d) the SEGC must pay the amount it receives under paragraph (c) into the NGF; and


(e) the operator's liability to pay the primary levy amount is reduced by the amount paid into the NGF under paragraph (d).

889K(5)  [Refunds]  


A payment of an amount to the SEGC as required by paragraph (4)(c) in respect of a particular contributory levy amount is subject to a condition that, if the Commonwealth becomes liable to refund the whole or a part of the contributory levy amount, the SEGC must pay the Commonwealth an amount equal to the amount that the Commonwealth is liable to refund. The SEGC may pay, out of the NGF, any amount so required to be paid to the Commonwealth.

889K(6)  [Application]  


The Financial Management and Accountability Act 1997 does not apply in relation to the payment of an amount of levy under this section to the operator of a financial market as agent for the Commonwealth. However, the operation of that Act in relation to the following payments is not affected:


(a) the payment of an amount to the Commonwealth as required by paragraph (4)(a); or


(b) the payment of an amount by the Commonwealth as required by paragraph (4)(c).

The operator must, in accordance with the regulations, notify the Commonwealth of payments of levy it receives as agent for the Commonwealth.


 



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