14CPersons exempt from requiring registration — securitisation entity

14C Persons exempt from requiring registration — securitisation entity

(1) For paragraph 42 (a) of Schedule 2 to the Act, this regulation applies in relation to a securitisation entity if:

(a) it engages in a credit activity; and

(b) it is party to a servicing agreement; and

(c) on and after 1 October 2010, it is a member of an approved external dispute resolution scheme; and

(d) if it is a body corporate — no director or secretary of the body corporate is an inappropriate person; and

(e) if it is a trust — no trustee of the trust is an inappropriate person.

(2) The securitisation entity is exempted from:

(b) definitions in the Act, as they apply to references in the provision mentioned in paragraph (a); and

Note Item 4 of Schedule 2 to the Act provides that a person must not engage in a credit activity during the specified period unless the person is registered or holds a licence authorising the person to engage in the credit activity.

Note: That item also provides that it is a defence if the person is a credit representative of the person who is registered or holds a licence authorising the person to engage in the credit activity.

Note: Item 6 of Schedule 2 to the Act provides that a person must not engage in a credit activity during the specified period unless the person:

(3) The securitisation entity is exempted only to the extent that it is engaging in the specified credit activity.

Note 1 If the fund raising special purpose entity also engages in a credit activity that is not the subject of an exemption under the Act or the Transitional Act, it is not exempted in relation to that credit activity.

Note 2 Under section 109 (3) of the Act, ASIC may declare that instruments made under Chapter 2 of the Act apply in relation to a credit activity (other than an exempt credit activity in relation to a specified credit contract, mortgage, guarantee or consumer lease), or a class of persons or credit activities as if specified provisions were omitted, modified or varied as specified in the declaration.