The prudential standard sets out minimum requirements for RSE licensees in determining the fitness and propriety of individuals to hold positions of responsibility. ?Yes. Now, this is a standard that would be or is or was drafted by APRA?That’s correct. – And is this the standard that would set out the principles in relation to fitness and propriety?Yes. And then if we go to page .0268?Yes. And paragraph 6?Yes. And we see that there’s a requirement that: An RSE licensee have a fit and proper policy. ?Yes. And if a if an entity didn’t have a fit and proper policy, assuming that occurred, – what is it that APRA could do in that event?Well, we would require them to establish a fit and proper policy. And is that a that you have under the Act, to give a direction to them to do so?I believe so. And then if they didn’t do it, what would happen?I I’m not a lawyer. I understand – that we would be able to take some sort of legal enforcement action. And if we then go over to page .0271?Yes. And this is setting out what the criteria are to determine if a responsible person is fit and proper?Yes. And it appears to be, perhaps, reflecting what’s in the SIS Act, expressed at a very general level?That’s correct. And if an entity’s criteria for assessing a fit and proper person was inadequate, then APRA could do something?Yes. We would be able to again, depending on the – level of deficiency, either recommend that they make improvements to their particular policy, or if we felt that it was completely adequate, that would be a stronger requirement for them to do so. And then if we go to page .0273?Yes.
The prudential standard sets out minimum requirements for RSE licensees in determining the fitness and propriety of individuals to hold positions of responsibility. ?Yes. Now, this is a standard that would be – or is or was drafted by APRA?That’s correct. And is this the standard that would set out the principles in relation to fitness and propriety?Yes. And then if we go to page .0268?Yes. And paragraph 6?Yes. And we see that there’s a requirement that: An RSE licensee have a fit and proper policy. ?Yes. And if a – if an entity didn’t have a fit and proper policy, assuming that occurred, what is it that APRA could do in that event?Well, we would require them to establish a fit and proper policy. And is that a that you have under the Act, to give a direction to them to do so?I believe so. And then if they didn’t do it, what would happen?I – I’m not a lawyer. I understand that we would be able to take some sort of legal enforcement action. And if we then go over to page .0271?Yes. And this is setting out what the criteria are to determine if a responsible person is fit and proper?Yes. And it appears to be, perhaps, reflecting what’s in the SIS Act, expressed at a very general level?That’s correct. And if an entity’s criteria for assessing a fit and proper person was inadequate, then APRA could do something?Yes. We would be able to – again, depending on the level of deficiency, either recommend that they make improvements to their particular policy, or if we felt that it was completely adequate, that would be a stronger requirement for them to do so. And then if we go to page .0273?Yes.
transcript-17-August-2018.docx