Commonwealth Consolidated Acts

SUPERANNUATION INDUSTRY (SUPERVISION) ACT 1993 - SECT 85

Prohibition

  (1)   A person must not enter into, commence to carry out, or carry out, a scheme if the person entered into, commenced to carry out, or carried out the scheme or any part of the scheme with the intention that:

  (a)   the scheme would result, or be likely to result, in an artificial reduction in the market value ratio of the fund's in - house assets; and

  (b)   that artificial reduction would avoid the application of any provision of this Part to the fund.

Civil penalty provision

  (2)   Subsection   (1) is a civil penalty provision as defined by section   193, and Part   21 therefore provides for civil and criminal consequences of contravening, or being involved in a contravention of, that subsection.

Validity of transaction not affected by contravention of subsection   (1)

  (3)   A contravention of subsection   (1) does not affect the validity of a transaction.

Scheme

  (4)   In this section:

"scheme" means:

  (a)   any agreement, arrangement, understanding, promise or undertaking:

  (i)   whether express or implied; or

  (ii)   whether or not enforceable, or intended to be enforceable, by legal proceedings; and

  (b)   any scheme, plan, proposal, action, course of action or course of conduct, whether unilateral or otherwise.