(1) The constitution of a registered scheme must make adequate provision for:
- (a)
- the consideration that is to be paid to acquire an interest in the scheme;
and
- (b)
- the powers of the responsible entity in relation to making investments of,
or otherwise dealing with, scheme property; and
- (c)
- the method by which complaints made by members in relation to the scheme
are to be dealt with; and
- (d)
- winding up the scheme.
(2) If the responsible entity is to have any rights to be paid fees out of
scheme property, or to be indemnified out of scheme property for liabilities
or expenses incurred in relation to the performance of its duties, those
rights:
- (a)
- must be specified in the scheme's constitution; and
- (b)
- must be available only in relation to the proper performance of those
duties;
and any other agreement or arrangement has no effect to the extent that it
purports to confer such a right.
(3) If the responsible entity is to have any powers to borrow or raise money
for the purposes of the scheme:
- (a)
- those powers must be specified in the
scheme's constitution; and
- (b)
- any other agreement or arrangement has no effect to the extent that it
purports to confer such a power.
(4) If members are to have a right to withdraw from the scheme, the scheme's
constitution must:
- (a)
- specify the right; and
- (b)
- if the right may be exercised while the scheme is liquid (as defined in
section 601KA)-set out adequate procedures for making and dealing with
withdrawal requests; and
- (c)
- if the right may be exercised while the scheme is not liquid (as defined
in section 601KA)-provide for the right to be exercised in accordance
with Part 5C.6 and set out any other adequate procedures (consistent with
that Part) that are to apply to making and dealing with withdrawal requests.
The right to withdraw, and any provisions in the constitution setting out
procedures for making and dealing with withdrawal requests, must be fair to
all members.
Commonwealth Numbered Acts