162Reserve Bank may apply for body corporate to be wound up

162 Reserve Bank may apply for body corporate to be wound up

(1) The Reserve Bank may apply under section 459P of the Corporations Act 2001 to the Court for an order that a body corporate be wound up in insolvency if:

(a) a condition in section 90 is satisfied in relation to a designated entity; and

(b) the body corporate:

(i) is the designated entity; or

(ii) is a related body corporate of the designated entity and is incorporated in Australia; or

(iii) was a related body corporate of the designated entity before a transfer of business or shares under this Part and is incorporated in Australia; and

(c) the Reserve Bank considers that the body corporate is insolvent and could not be restored to solvency within a reasonable period.

(2) If the Reserve Bank, in accordance with subsection (1), makes an application under section 459P of the Corporations Act 2001, the Reserve Bank must inform ASIC of the application as soon as possible.

Notification of proposal to apply for body corporate to be wound up

(3) Before making an application in accordance with subsection (1), the Reserve Bank must:

(a) notify the body corporate, in writing, that the Reserve Bank is proposing to make the application; and

(b) invite the body corporate to make submissions to the Reserve Bank within 10 business days after the notice is given regarding the proposal to make the application.

(4) The Reserve Bank must:

(a) consider any submissions made under paragraph (3)(b); and

(b) notify the body corporate, in writing, of whether the Reserve Bank intends to proceed with making the application.