12When a person may be registered

12 When a person may be registered When ASIC must register a person (1) ASIC must register a person (the applicant) if (and must not register the applicant unless): (a) the applicant has applied to be registered in accordance with item 11; and (b) the application makes a statement that the applicant is a member of the AFCA scheme; and (c) the application makes the statement set out in subitem (2) in relation to each of the following persons: (i) the applicant; (ii) if the applicant is a body corporate—each director or secretary of the body corporate who would perform duties in relation to the credit activities to be authorised by the registration; (iii) if the applicant is a partnership or the trustees of a trust—each partner or trustee who would perform duties in relation to the credit activities to be authorised by the registration. (2) For the purposes of paragraph (1)(c), the statement is that: (a) a banning order or disqualification order under Part 2‑4 of the National Credit Act is not in force against the person; and (b) a banning order or disqualification order under Division 8 of Part 7.6 of the Corporations Act 2001 is not in force against the person; and (c) the person is not banned from engaging in a credit activity under a law of a State or Territory; and (d) if the person is or has been registered—the person’s registration is neither suspended nor cancelled; and (e) an Australian financial services licence of the person is neither suspended, nor has been cancelled within the last 7 years, under: (i) paragraph 915B(1)(d) or subparagraph 915B(4)(b)(iii) of the Corporations Act 2001 (which deals with suspension or cancellation because of mental or physical incapacity); or (ii) section 915C of the Corporations Act 2001 (which deals with suspension or cancellation after offering a hearing); and (f) if the person is not the trustees of a trust—the person is not insolvent; and (g) if the person is a natural person: (i) the person is not disqualified from managing corporations under Part 2D.6 of the Corporations Act 2001; and (ii) the person has not been convicted, within 10 years before the application is made, of serious fraud; and (iii) a prescribed State or Territory order is not in force against the person. (2A) For the purposes of paragraph (2)(c), a reference to a credit activity in the definitions of banned from engaging in a credit activity under a law of a State or Territory and State or Territory credit licence in subsection 5(1) of the National Credit Act (as those definitions apply for the purposes of this Act because of subsection 4(2) of this Act) includes a reference to an activity that would be a credit activity if the new Credit Code had applied from the day section 3 of the National Credit Act commences. ASIC may refuse to register a person in certain circumstances (3) Despite subitem (1), ASIC may refuse to register a person if ASIC has reason to believe that: (a) the application is false in a material particular or materially misleading; or (b) there is an omission of a material matter from the application. Notice of decision on application (4) ASIC must give the applicant written notice of: (a) ASIC’s decision on the application; and (b) if the decision is to register the applicant—the day on which the applicant becomes registered; and (c) if the decision is not to register the applicant—the reasons for the decision. When applicant becomes registered (5) The applicant becomes registered when ASIC enters the applicant’s name on a credit register as a registered person. 13 Basis on which a person is registered A person who is registered under this Division is registered on the basis that: (a) conditions on the registration may be imposed, varied or revoked under item 14 or 15; and (b) the registration may be suspended under item 22, 23, 24 or 25; and (c) the registration may be cancelled under item 20, 21, 22, 23, 24 or 25; and (d) the registration may be varied under item 26; and (e) the registration may be cancelled, revoked, terminated or varied by or under later legislation; and (f) no compensation is payable if: (i) conditions on the registration are imposed, varied or revoked as referred to in paragraph (a); or (ii) the registration is suspended, cancelled, varied, revoked or terminated as referred to in paragraphs (b) to (e). Division 2—The conditions on the registration 14 The conditions on the registration ASIC may impose, vary or revoke conditions on registrations (1) ASIC may, at any time: (a) impose conditions, or additional conditions, on a person’s registration; and (b) vary or revoke conditions imposed on a person’s registration. (2) ASIC may do so: (a) on its own initiative; or (b) if the registered person lodges an application with ASIC for the imposition, variation or revocation. (3) The application must be in the approved form. Notice and effect of imposition, variation or revocation of conditions (4) ASIC must give the registered person written notice of the imposition, variation or revocation of the conditions. The imposition, variation or revocation of the conditions comes into force on the day specified in the notice, which must not be before the day on which the decision to impose, vary or revoke the conditions was made. ASIC must give the registered person a hearing (5) Despite subitem (1), ASIC may only impose conditions or additional conditions, or vary or revoke the conditions, on the registration after giving the registered person an opportunity: (a) to appear, or be represented, at a hearing before ASIC that takes place in private; and (b) to make submissions to ASIC in relation to the conditions. This subitem does not apply to ASIC imposing conditions when a person becomes registered. Condition in relation to credit activities authorised (6) ASIC must ensure that the registration is subject to a condition that specifies the credit activities or classes of credit activities that the registered person is authorised to engage in. Regulations may prescribe conditions (7) The registration is subject to such other conditions as are prescribed by the regulations. However, ASIC cannot vary or revoke those conditions.