Commonwealth Consolidated Acts

BANKING ACT 1959 - SECT 31B

Directions by APRA

  (1)   Subsection   11CD(1A) (direction not grounds for denial of obligations) does not prevent the exercise of a contractual right in relation to an asset that secures liabilities to holders of covered bonds, or their representatives, if payments under the covered bonds to the holders or representatives are not made.

Banking Act statutory manager in control

  (2)   The following provisions do not prevent the exercise of a contractual right in relation to an asset that secures liabilities to holders of covered bonds, or their representatives, if payments under the covered bonds to the holders or representatives are not made:

  (a)   section   15BA (moratorium--effect of Banking Act statutory management on enforcement process regarding property);

  (b)   section   15BB (moratorium--effect of Banking Act statutory management on disposal of property);

  (c)   section   15BC (moratorium--restrictions on exercise of third party property rights);

  (d)   section   15C (Banking Act statutory manager being in control not grounds for denial of obligations).