5.4 Compliance Check List – Syndicate Regulatory Framework

ASIC has overall responsibility for administering the regulatory regime, including the activities of the principal racing authorities as lead regulators for the purpose of administering the terms of the ASIC Instrument relief within their respective jurisdictions.

Set out in the following table is a compliance check list for both a registered managed investment scheme and a scheme that is the subject of a PDS approved by a Lead regulator.

ASIC registered managed investment scheme	Scheme the subject of a lead regulator approved PDS
Constitution	Agreement
Compliance Plan
requirement to obtain compulsory managed investments PI insurance
application to ASIC to register scheme
PDS	PDS
	application to Lead regulator to approve PDS
PDS in-use notice – ASIC Form FS88	PDS in-use notice – ASIC Form FS88
offer and sale of interests provision of PDS to prospective investors prior to the point of sale payment of application price by investors applying for shares receipt of application money by promoter into designated trust account [which money must be refunded, together with any interest earned, if the offer is not fully subscribed and shares allotted] Cooling-off transfer of the legal and beneficial title in the horse to investors, unencumbered	offer and sale of interests provision of PDS to prospective investors prior to the point of sale payment of application price by investors applying for shares receipt of application money by promoter into designated trust account [which money must be refunded, together with any interest earned, if the offer is not fully subscribed and shares allotted] Cooling-off transfer of the legal and beneficial title in the horse to investors, unencumbered
issuing and allotment of shares	issuing and allotment of shares
registration of scheme with the registrar of racehorses	registration of scheme with the registrar of racehorses
registration of the horse in the name of the scheme (or the members, if no more than 20)	registration of the horse in the name of the scheme (or the members, if no more than 20)
establishment of designated scheme bank account	establishment of designated scheme bank account (which obviously can be dispensed with if arrangements are put in place for proportionate direct billing of members for horse costs and proportionate direct payment to members of prize money)
accounting and annual financial reports	accounting and annual financial reports
annual syndicate and compliance plan audits – external auditors
copies of audited annual financial report and compliance audit certificate to be lodged with ASIC and provided to members	copies of annual financial report to be lodged with lead regulator and provided to members
compliance	compliance
surveillance	surveillance
breaches	breaches
penalties	penalties