9AConditions for unlicensed carried over instrument lender—credit register

#### 9A Conditions for unlicensed carried over instrument lender—credit register (1) For modified section 45 of the Act, an unlicensed carried over instrument lender is subject to the conditions set out in this regulation. (2) If: (a) there is a change in a matter, particulars of which are entered in the credit register for unlicensed carried over instrument lenders; and (b) the change is not a direct consequence of an act by ASIC; the lender must lodge particulars of the change with ASIC, in the approved form, no later than 10 business days after the change occurs. (3) If the lender becomes aware of any change in control of the lender, the lender must lodge with ASIC particulars of the change, in the approved form, not later than 10 business days after the change. (4) For subregulation (3): (a) a change in control, in relation to a lender, includes a transaction, or a series of transactions in a period of 12 months, that results in a person having control of the lender, either alone or together with associates of the person; and (b) control, in relation to a lender, means: (i) if the lender is a body corporate: (A) the capacity to cast, or control the casting of, more than one half of the maximum number of votes that might be cast at a general meeting of the lender; or (B) directly or indirectly holding more than one half of the issued share capital of the lender (not including any part of the issued share capital that carries no right to participate beyond a specified amount in a distribution of either profits or capital); or (ii) the capacity to control the composition of the lender’s board or governing body; or (iii) the capacity to determine the outcome of decisions about the lender’s financial and operating policies. (5) For subparagraph (4)(b)(iii), the following matters must be taken into account in determining whether a person has the capacity to determine the outcome of decisions about the lender’s financial and operating policies: (a) the practical influence the person can exert (rather than the rights it can enforce); (b) any practice or pattern of behaviour affecting the lender’s financial or operating policies (whether or not it involves a breach of an agreement or a breach of trust). (6) If: (a) the lender is not a body regulated by APRA; and (b) an event occurs that may make a material adverse change to the financial position of the lender by comparison with its financial position: (i) at the time it became an unlicensed carried over instrument lender; or (ii) as described in documents lodged with ASIC after it became an unlicensed carried over instrument lender; the lender must lodge with ASIC in the approved form a notice setting out particulars of the event as soon as practicable, and in any case not later than 3 business days, after the lender becomes aware of the event.