Govt seeks to implement two ALRC recommendations
The Government has released draft legislation implementing two recommendations made by the Australian Law Reform Commission (ALRC) relating to improving financial services legislation.
The two recommendations had been made as part of the ALRC’s Interim Report A which covered navigability and readability of the law.
The draft legislation related to:
- Create a single glossary of defined terms in section 9 of the Corporations Act 2001 (Corporations Act); and
- ‘Unfreeze’ the Acts Interpretation Act 1901 (AIA) as it applies to the Corporations Act and Australian Securities and Investments Commission Act 2001 so the most current version of the AIA applies to both Acts.
It also partially implemented three recommendations from the ALRC’s Interim Report B to
- Repeal definitions that are no longer used, cross-references to repealed provisions and other redundant provisions
- Amend the law to address unclear or incorrect provisions, and
- Simplify unnecessarily complex provisions, with a particular focus on terms defined as having more than one meaning and definitions containing substantive obligations.
The Government welcomed comments or feedback from stakeholders on the draft legislation and explanatory material and could submit responses to 15 January, 2023.
AUTHOR
Laura Dew
Recommended for you
Financial Services Minister Stephen Jones has shared further details on the second tranche of the Delivering Better Financial Outcomes reforms including modernising best interests duty and reforming Statements of Advice.
The Federal Court has found a company director guilty of operating unregistered managed investment schemes and carrying on a financial services business without holding an AFSL.
The Governance Institute has said ASIC’s governance arrangements are no longer “fit for purpose” in a time when financial markets are quickly innovating and cyber crime becomes a threat.
Compliance professionals working in financial services are facing burnout risk as higher workloads, coupled with the ever-changing regulation, place notable strain on staff.
