SUPERANNUATION INDUSTRY (SUPERVISION) REGULATIONS 1994 - REG 9.38 Technical insolvency of accumulation funds--operating standard
SUPERANNUATION INDUSTRY (SUPERVISION) REGULATIONS 1994 - REG 9.38
Technical insolvency of accumulation funds--operating standard(1) The trustee of an accumulation fund that is technically insolvent must either:
(a) initiate a program in accordance with this Division that is designed by a superannuation actuary to ensure that the fund is in a solvent position not later than at the end of the fifth year of income following the year of income in which the fund became technically insolvent; or
(b) initiate winding - up proceedings.
(2) The trustee of an accumulation fund to which subregulation
(1) does not apply may elect to have the fund comply with a program
comparable with a program referred to in paragraph (1)(a), except that
the program is designed to ensure that the fund is in a solvent position not
later than at the end of the fifth year of income following the year of income
in which the trustee made the election.