New South Wales Consolidated Acts

TRUSTEE COMPANIES ACT 1964 - SECT 36A

36A Indemnities

(1) The National Australia Trustees Limited, BNY Trust Company of Australia Limited, the Trust Company Fiduciary Services Limited, the Perpetual Trustee Company Limited, Perpetual Limited and such other trustee companies named in the Second Schedule as are declared by a proclamation under section 36AA to be trustee companies to which this section applies:

(a) shall arrange with an approved insurer, and keep in force at all times, an approved policy of indemnity insurance for an amount that is not less than the amount prescribed in respect of the trustee company concerned, or

(b) shall instead, with the approval of the Attorney General, lodge with the Attorney General an approved guarantee from a bank, building society or credit union as an indemnity to secure the payment of an amount that is not less than the amount prescribed in respect of the trustee company concerned.

(2) A trustee company referred to in subsection (1) shall, at the request of the Attorney General, produce evidence of any insurance required to be arranged and kept in force by the trustee company under this section.

(3) In this section, "approved" means approved by the Attorney General.

(4) The Attorney General, before approving a policy of indemnity insurance or a guarantee from a bank, building society or credit union under this section, is to consult the Australian Financial Institutions Commission established by the Australian Financial Institutions Commission Act 1992 of Queensland as to the appropriate value of the indemnity or guarantee concerned.