Commonwealth act

Futures Organisations Fidelity Funds Levy Act 1989

RepealedCTH

This Act has been repealed and is no longer in force. It is retained for historical reference.

Jurisdiction

Commonwealth

Act Number

119 of 1989

Collection

act

Plain English Summary

2/10 complexity

This Act imposes a levy on members of futures organisations (like futures exchanges) to fund fidelity funds that compensate clients if a broker becomes insolvent or mishandles client money. It makes the levy enforceable as a tax (separate from the Corporations Act): exchanges set member contributions within government‑set caps. It ensures fidelity funds have legally collectable resources to protect client interests.

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Current sections

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Futures Organisations Fidelity Funds Levy Act 1989

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Futures Organisations Fidelity Funds Levy Act 1989

No. 119 of 1989

An Act to impose a levy on contributing members of certain futures organisations

[Assented to 14 July 1989]

BE IT ENACTED by the Queen, and the Senate and the House of Representatives of the Commonwealth of Australia, as follows:

Short title

This Act may be cited as the Futures Organisations Fidelity Funds Levy Act 1989.

Commencement

This Act commences on the same day as Part 8.6 of the Corporations Act 1989.

Incorporation

The Corporations Act 1989 is incorporated, and shall be read as one, with this Act, and shall be so read as if the provisions of this Act were provisions of Part 8.6 of that Act.

Imposition of levy

Any levy by the name of futures organisation fidelity fund levy that is payable under subsection 1235 (1) of the Corporations Act 1989 by a contributing member of a futures organisation referred to in that subsection is imposed by this Act.

Amount of levy

The amount of the levy is such amount, not exceeding the prescribed amount, as is determined by the futures organisation concerned.

Regulations

(1) The Governor-General may make regulations prescribing maximum amounts for the purposes of section 5.

(2) The regulations may prescribe different maximum amounts in relation to different futures organisations.

[Minister’s second reading speech made in—

House of Representatives on 25 May 1988

Senate on 14 October 1988]

Source text

Sourced from the Federal Register of Legislation (legislation.gov.au), CC BY 4.0.

1 Futures Organisations Fidelity Funds Levy Act 1989

Futures Organisations Fidelity Funds Levy Act 1989

No. 119 of 1989

An Act to impose a levy on contributing members of certain futures organisations

[Assented to 14 July 1989]

BE IT ENACTED by the Queen, and the Senate and the House of Representatives of the Commonwealth of Australia, as follows:

Short title

This Act may be cited as the Futures Organisations Fidelity Funds Levy Act 1989.

Commencement

This Act commences on the same day as Part 8.6 of the Corporations Act 1989.

Incorporation

The Corporations Act 1989 is incorporated, and shall be read as one, with this Act, and shall be so read as if the provisions of this Act were provisions of Part 8.6 of that Act.

Imposition of levy

Any levy by the name of futures organisation fidelity fund levy that is payable under subsection 1235 (1) of the Corporations Act 1989 by a contributing member of a futures organisation referred to in that subsection is imposed by this Act.

Amount of levy

The amount of the levy is such amount, not exceeding the prescribed amount, as is determined by the futures organisation concerned.

Regulations

(1) The Governor-General may make regulations prescribing maximum amounts for the purposes of section 5.

(2) The regulations may prescribe different maximum amounts in relation to different futures organisations.

[Minister’s second reading speech made in—

House of Representatives on 25 May 1988

Senate on 14 October 1988]