Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) This section applies if the trustee, or the trustees, of a standard employer - sponsored fund (other than a superannuation fund with no more than 6 members) are required by law:
(a) if the trustee is a single corporate trustee--to have member representatives on the board of directors of the trustee; or
(b) if there is a group of individual trustees--to have member representatives included in the group; or
(c) in any other case--to have member representatives on a policy committee of the fund.
(2) Each trustee of the fund must ensure that:
(a) rules are established (whether by inclusion in the governing rules or otherwise):
(i) setting out a procedure for appointing the member representatives; and
(ii) ensuring that member representatives so appointed can only be removed by the same procedure as that by which they were appointed, except in the event of:
(A) death; or
(B) mental or physical incapacity; or
(C) retirement; or
(D) termination of employment; or
(DA) the member representative no longer meeting one or more of the criteria for fitness and propriety relevant to the member representative set out in the prudential standards; or
(E) the member representative becoming a disqualified person within the meaning of Part 15; or
(F) suspension or removal under Part 17; or
(G) other prescribed circumstances; and
(b) those rules are published in such a way as will make members of the fund aware of the procedure for appointment and removal of member representatives.
(3) A trustee is guilty of an offence if the trustee contravenes subsection (2).
(4) A trustee is guilty of an offence if the trustee contravenes subsection (2). This is an offence of strict liability.
Note 1: Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.
Note 2: For strict liability , see section 6.1 of the Criminal Code .