Section 964E — Corporations Act 2001: Authorised representatives must not charge asset-based fees on borrowed amounts

(1) The authorised representative of the financial services licensee must not charge an asset-based fee on a borrowed amount used or to be used to acquire financial products by or on behalf of the client. Note: This subsection is a civil penalty provision (see section 1317E). Exceptions (2) Subsection (1) does not apply in relation to a borrowed amount if it is not reasonably apparent that the amount has been borrowed. (3) The regulations may provide that subsection (1) does not apply in prescribed circumstances. Duty to make reasonable inquiries (4) Nothing in this section affects the duty of the authorised representative under section 961B to make reasonable inquiries to obtain complete and accurate information.