Commonwealth Numbered Acts

SUPERANNUATION INDUSTRY (SUPERVISION) ACT 1993 No. 78, 1993 - SECT 71

71.(1) For the purposes of this Part, an in-house asset of a superannuation
fund is an asset of the fund that is a loan to, or an investment in, a
standard employer-sponsor, or an associate of a standard employer-sponsor, of
the fund, but does not include:

   (a)  a life policy issued by a life insurance company; or

   (b)  a deposit with an approved bank; or

   (c)  an investment in a pooled superannuation trust, where the trustee of
        the fund and the trustee of the pooled superannuation trust acted at
        arm's length in relation to the making of that investment; or

   (d)  an asset of a public sector fund, where the asset consists of an
        investment in securities issued under the authority of:

        (i)    the Commonwealth or a government of a State or a Territory; or

        (ii)   a public authority constituted by or under a law of the
               Commonwealth, a State or a Territory, where the public
               authority is neither a standard employer-sponsor, nor an
               associate of a standard employer-sponsor, of the fund; or

   (e)  an asset which the Commissioner, by written notice given to the
        trustee of the fund, determines is not an in-house asset of the fund;
        or

   (f)  an asset which the Commissioner, by written determination, determines
        is not an in-house asset of:

        (i)    any fund; or

        (ii)   a class of funds in which the fund is included. Agreements

(2) If:

   (a)  apart from this subsection, an asset of a fund consists of a loan, or
        an investment, other than an in-house asset; and

   (b)  the loan or investment was made as the result of entering into or
        carrying out an agreement; and

   (c)  any of the persons who entered into or carried out the agreement did
        so for the purpose, or purposes that included the purpose, of
        achieving the result that a loan or investment would be made to or in,
        or to or in an associate of, a standard employer-sponsor of the fund;
        then:

   (d)  the asset is taken, for the purposes of this Part, to be a loan to, or
        an investment in, the standard employer-sponsor, or the associate of
        the employer-sponsor, as the case requires; and

   (e)  paragraphs (1)(a) to (f) (inclusive) do not apply to the asset. 2 or
        more purposes

(3) Subsection (2) does not stop the same asset from being treated as if it
were a loan to, or an investment in, 2 or more persons if 2 or more purposes
apply under paragraph (2)(c). Commissioner's determination

(4) If:

   (a)  apart from this subsection, an asset of a fund consists of a loan, or
        an investment, other than an in-house asset; and

   (b)  the Commissioner, by written notice given to the trustee of the fund,
        determines that the asset is to be treated, with effect from the day
        on which the notice is given, as if the asset were a loan to, or an
        investment in, a specified standard employer-sponsor of the fund;
        then:

   (c)  the asset is taken, for the purposes of this Part, to be a loan to, or
        an investment in, the employer-sponsor; and

   (d)  paragraphs (1)(a) to (f) (inclusive) do not apply to the asset.
        Paragraph (1)(e) determinations may be retrospective

(5) A determination under paragraph (1)(e) may be expressed to have taken
effect at a time earlier than the time when the determination was made.
Paragraph (1)(f) determinations to be disallowable instruments

(6) A determination under paragraph (1)(f) is a disallowable instrument for
the purposes of section 46A of the Acts Interpretation Act 1901.