Triple searches needed on PPSR
The adequacy of data transferred from security registers maintained by the ASIC to the new Personal Property Securities Register emerged yesterday as the most common source of discontent with users of the new register. As banks and other users have learned since the register came into operation on Monday, in many cases a search for secured interests on the register must be performed three times, using the business number, the company number and the company's name, in order to make certain that no party holds a security against an asset.The PPS registrar confirmed in advice published on its website yesterday that users "may need to conduct multiple searches in order to be satisfied whether there are any ASIC registrations against a company in PPSR."According to this advice, the new register has been designed to store a single organisation number. The register prioritises the Australian Business Number as this identifier.Many users of the ASIC registers, however, have been used to being able to access details with reference to the Australian Company Number, or at least having this presented with all search results, which the PPSR does not do.According to the PPS registrar, ASIC migrated 1.6 million records from the Register of Company Charges. Of these one million were registered by their ABN.One wrinkle is that 27,000 registrations migrated by ASIC failed to list the security interests of multiple financiers. Instead, ASIC transferred this data in the name of only a single secured party.Other issues reported in Banking Day over the last two days may only be partially resolved.The PPS registrar's stakeholder update late yesterday stated that most of the issues degrading the search function were resolved on Monday afternoon. User discontent on this point continues, however.The registrar also acknowledged the issue around the production of "search certificates", the absence of which (from the point of view of some lenders) is delaying payments to commercial customers.According to the PPS registrar, the search certificate is only returned in XML format. A certificate in PDF format will have to wait until the next release of the register.Major users of the register, including banks that did not take this feature into account, will now have to hurry up and re-program their own systems.