{"id":"F2020L00959","name":"Higher Education Provider Approval No. 2 of 2020","slug":"higher-education-provider-approval-no-2-of-2020","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":100366,"registerId":"commonwealth-F2020L00959-current","compilationNumber":null,"startDate":"2026-04-02","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Higher Education Provider Approval No. 2 of 2020","content":"NOTICE OF APPROVAL\n\nCOMMONWEALTH OF AUSTRALIA\n\nHigher Education Support Act 2003\n\nHigher Education Provider Approval No. 2 of 2020\n\nApproval under section 16\\-25, decision under paragraph 16-50(1a), and Notice of Approval under paragraph 16\\-50(1b) to the Higher Education Support Act 2003 (the Act).\n\nI, Damian Coburn, a delegate of the Minister for Education and Training for the purposes of 16-25, 16-50 and 16-60 of the Higher Education Support Act 2003 (the Act):\n\n(a) approve the application of Southern Cross Education Institute (Higher Education) Pty Ltd (ABN: 79 605 294 997, ACN: 605 294 997) as a higher education provider in accordance with section 16\\-25 of the Act;\n\n(b) impose conditions on the approval of Southern Cross Education Institute (Higher Education) Pty Ltd as a higher education provider in accordance with paragraph 16-60 of the Act;\n\n(c) note that this approval decides the application of Southern Cross Education Institute (Higher Education) Pty Ltd as required by paragraph 16-50 (1a) of the Act; and\n\n(d) hereby give Southern Cross Education Institute (Higher Education) Pty Ltd written notice of my approval as required by paragraph 16-50 (1b) of the Act.\n\nConditions\n\n1.  Southern Cross Education Institute (Higher Education) Pty Ltd must maintain adequate liquidity levels as measured by a current ratio of 1.0 or above for the period of its approval.\n2.  Southern Cross Education Institute (Higher Education) Pty Ltd must maintain a positive equity position for the period of its approval.\n3.  Southern Cross Education Institute (Higher Education) Pty Ltd will not provide any new guarantees or loans to its directors or related entities that could have a material effect on its finances.\n4.  Southern Cross Education Institute (Higher Education) Pty Ltd must not offer its assets as security for the benefit of any other person or entity including associated entities except as a consequence of any commercial loan arrangements with a recognised financial institution for the period of its approval. Associated entity has the meaning given by section 50AAA of the Corporations Act 2001.\n5.  Southern Cross Education Institute (Higher Education) Pty Ltd must provide the department responsible for administering the Higher Education Support Act 2003 with all required financial information as specified in the Financial Viability Instructions, on an annual basis by no later than 31 December each year for the period of its approval.\n6.  Southern Cross Education Institute (Higher Education) Pty Ltd must, in writing, advise the department responsible for administering the Higher Education Support Act 2003 of any events affecting Southern Cross Education Institute (Higher Education) Pty Ltd or a related entity that may significantly affect the capacity of Southern Cross Education Institute (Higher Education) Pty Ltd to meet the quality and accountability requirements under the Act for the period of its approval. The written advice must be provided within 10 working days of the event occurring.\n7.  Southern Cross Education Institute (Higher Education) Pty Ltd must inform the department responsible for administering the Higher Education Support Act 2003 in writing of changes to directors, company structure and/or its constitution for the period of its approval. The written advice must be provided within 10 working days of the event occurring.\n8.  Southern Cross Education Institute (Higher Education) Pty Ltd, as soon as practicable, advise the department responsible for administering the Higher Education Support Act 2003 of any regulatory activity undertaken or being undertaken by the Tertiary Education Quality and Standards Authority or any other regulatory body which may impact upon its operations for the period of its approval.\n9.  Southern Cross Education Institute (Higher Education) Pty Ltd must, as soon as practicable, advise the department responsible for administering the Higher Education Support Act 2003 of any regulatory activity that has been or is being undertaken in relation to Australian Consumer Law and/or fair trading laws for the period of its approval.\n10.  Southern Cross Education Institute (Higher Education) Pty Ltd must provide the department with Southern Cross Education Institute Pty Ltd’s (ABN: 56 121 182 027) financial statements each year in addition to its own.\n\nIn accordance with section 16-55 of the Act and section 12 of the Legislation Act 2003 this notice of approval commences on the day after it is registered on the Federal Register of Legislation.\n\nDate: 28 July 2020\n\nDamian Coburn  \nBranch Manager  \nHELP and Provider Integrity Branch\n\nDelegate of the Minister for Education, Skills and Employment","sortOrder":0}],"analysis":{"flash_summary":{"complexity_score":4,"scope_assessment":{"changed":false,"description":"This instrument exercises the Ministerial delegation to approve a specific entity as a higher education provider and to attach conditions; it does not amend or expand the statutory definitions or the classes of entities that can be approved. It imposes continuing financial and reporting obligations on Southern Cross Education Institute (Higher Education) Pty Ltd (see Conditions 1–10) and links assessment to external instruments (Financial Viability Instructions) and the Corporations Act (s 50AAA). The provider, not the Commonwealth, bears compliance costs; the delegate (Damian Coburn) made the decision under ss 16‑25/16‑50 and imposed conditions under s 16‑60, with commencement noted under s 16‑55 and the Legislation Act 2003 s 12."},"complexity_factors":["Multiple, continuing financial tests: a numeric liquidity threshold (current ratio ≥ 1.0) (Condition 1) and a positive equity requirement (Condition 2).","Restrictions on corporate finance and related‑party transactions: ban on new guarantees/loans to directors/related entities (Condition 3) and prohibition on using assets as security except for commercial loans with a recognised financial institution (Condition 4).","Ongoing reporting obligations: annual financial submissions per the Financial Viability Instructions by 31 December each year (Condition 5) and requirement to supply a related entity’s financial statements (Condition 10).","Short‑notice notification duties: written advice to the department within 10 working days of events affecting capacity to meet Act requirements, and within 10 working days of changes to directors, company structure or constitution (Conditions 6 and 7).","Regulatory‑activity reporting: prompt notification of any TEQSA or other regulatory action and of Australian Consumer Law/fair trading activity (Conditions 8 and 9).","Cross‑references to external instruments and statutes increase interpretation burden: references to the Financial Viability Instructions and to 'associated entity' defined by s 50AAA of the Corporations Act 2001 (Condition 4 and Condition 5).","Delegated decisionmaking and commencement formalities: approval issued by a Ministerial delegate under ss 16‑25, 16‑50 and conditions under s 16‑60; commencement governed by s 16‑55 and s 12 of the Legislation Act 2003 (notice header and final paragraph).","Practical compliance burdens: recurring data collection, certification and timely notifications create ongoing administrative costs and may constrain financing options and governance flexibility for the provider."],"plain_english_summary":"Approves Southern Cross Education Institute (Higher Education) Pty Ltd as a higher education provider under the Higher Education Support Act 2003 and attaches ongoing financial and reporting conditions, signed by a Ministerial delegate.\n\nConditions require minimum liquidity and positive equity, restrictions on guarantees and asset security, annual and ad‑hoc financial reporting (including a related entity’s accounts), and prompt written notice of company or regulatory events. The provider bears the compliance costs and may face constraints on financing and corporate changes."},"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"This is a discrete administrative approval instrument issued under specific statutory powers. It has not expanded beyond its original purpose of approving a single higher education provider with attached conditions. The scope remains tightly confined to the approval of Southern Cross Education Institute (Higher Education) Pty Ltd."},"complexity_factors":["Single-purpose administrative instrument (approval notice) with straightforward structure","Only 10 numbered conditions, each expressed in plain language","Minimal cross-referencing: only references to sections 16-25, 16-50, 16-55, 16-60 of the Higher Education Support Act 2003, section 50AAA of the Corporations Act 2001, and section 12 of the Legislation Act 2003","No defined terms section; only one external definition incorporated ('associated entity' from Corporations Act)","Linear logic with no nested exceptions or conditional clauses beyond simple temporal limitations ('for the period of its approval')","Total length: approximately 1 page of substantive content"],"plain_english_summary":"Southern Cross Education Institute (Higher Education) Pty Ltd is approved as an Australian higher‑education provider, able to offer university‑level courses and access Commonwealth HELP funding. \n\nThe approval is conditional on ten financial and reporting safeguards—covering financial stability, limits on risky transactions, and prompt disclosure of problems—designed to protect students’ studies and taxpayer exposure."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"}},"importantCases":[],"_links":{"self":"/api/acts/higher-education-provider-approval-no-2-of-2020","history":"/api/acts/higher-education-provider-approval-no-2-of-2020/history","analysis":"/api/acts/higher-education-provider-approval-no-2-of-2020/analysis","conflicts":"/api/acts/higher-education-provider-approval-no-2-of-2020/conflicts","importantCases":"/api/acts/higher-education-provider-approval-no-2-of-2020/important-cases","documents":"/api/acts/higher-education-provider-approval-no-2-of-2020/documents"}}