The Minister for Financial Services, Superannuation and Corporate Law, Chris Bowen MP, today released the Banking Amendment Regulations 2010 and the Corporations Amendment Regulations 2010, with explanatory statements for public consultation.
These regulations arise from amendments in the Financial System Legislation Amendment (Financial Claims Scheme and Other Measures) Act 2008.
The Corporations Amendment Regulations would require authorised deposit-taking institutions (ADI's) and general insurers to provide information relating to the Financial Claims Scheme (FCS) in Product Disclosure Statements.
"The Regulations would implement the objective of informing investors and clients about the relationship between protected accounts, protected insurance policies and the FCS" Mr Bowen said.
The FCS disclosure requirements for general insurers will become operational from 17 April 2010 and for ADI's 12 October 2011.
The Banking Amendment Regulations would ensure that a statutory manager can be appointed under the Banking Act 1959, notwithstanding the existence of external support arrangements such as the Government's guarantee of deposits.
The Government welcomes submissions regarding the measures contained in the Regulations.
Copies of the Regulations and accompanying explanatory statements can be obtained from the Treasury website: www.treasury.gov.au.
The closing date for submissions is 16 February 2010. Submissions may be lodged electronically, by post or facsimile.
Unless otherwise indicated by respondents, submissions will appear on the Treasury website.
19 January 2010