Bankruptcy Act 1966

PART VI - ADMINISTRATION OF PROPERTY  

Division 4B - Contribution by bankrupt and recovery of property  

Subdivision HA - Supervised account regime  

SECTION 139ZIE   BANKRUPT MUST OPEN AND MAINTAIN SUPERVISED ACCOUNT  

139ZIE(1)   Supervised account notice.  

For the purposes of this Subdivision, a supervised account notice is a written notice that is issued by the trustee of a bankrupt ' s estate and that:

(a) requires the bankrupt, within:

(i) 10 business days after the notice is given to the bankrupt; or

(ii) such longer period (if any) as is specified in the notice;

to open an account (a supervised account ) that complies with the following requirements:

(iii) the account is kept with an ADI;

(iv) the account is kept in Australia;

(v) the account is denominated in Australian currency;

(vi) the account is held solely in the name of the bankrupt;

(vii) deposits may be made to, and withdrawals may be made from, the account;

(viii) the account is designed not to have a debit balance;

(ix) such other requirements (if any) as are specified in the notice; and

(b) requires the bankrupt to inform the ADI, when opening the account, that the account is a supervised account; and

(c) requires the bankrupt, after the account is opened, to maintain the account for so long as the notice is in force.

139ZIE(2)    
A supervised account notice must be in the approved form.

139ZIE(3)   Compliance with supervised account notice.  

A bankrupt to whom the supervised account regime applies must comply with a supervised account notice in force in relation to the bankrupt.

139ZIE(4)   When supervised account notice ceases to be in force.  

A supervised account notice relating to a bankrupt ceases to be in force if the bankrupt ceases to be a bankrupt to whom the supervised account regime applies.

Note:

A supervised account notice may be revoked under subsection 139ZIEA(1) .

139ZIE(5)   Trustee to be notified of account details.  

A bankrupt to whom the supervised account regime applies must, within 2 business days after opening a supervised account, give a written notice to the trustee setting out the following information about the supervised account:

(a) the name of the ADI concerned;

(b) the name in which the account is held;

(c) the account number;

(d) the BSB number concerned.

139ZIE(6)   Offence.  

A person commits an offence if:

(a) the person is subject to a requirement under subsection (3) or (5); and

(b) the person engages in conduct; and

(c) the person ' s conduct breaches the requirement.

Penalty for contravention of this subsection: Imprisonment for 6 months.