Corporations (Aboriginal and Torres Strait Islander) Act 2006

CHAPTER 11 - EXTERNAL ADMINISTRATION  

PART 11-2 - SPECIAL ADMINISTRATION  

Division 496 - Effect of appointment of special administrator on officers of the corporation  

SECTION 496-10   POWERS OF OFFICERS CAN ONLY BE EXERCISED BY, OR WITH THE CONSENT OF, SPECIAL ADMINISTRATOR  

496-10(1)    
While an Aboriginal and Torres Strait Islander corporation is under special administration, a person (other than the special administrator) cannot perform or exercise, and must not purport to perform or exercise, a function or power as an officer of the corporation.

Penalty: 25 penalty units or imprisonment for 6 months, or both.

496-10(2)    
Subsection (1) does not apply to the extent to which the performance or exercise, or purported performance or exercise, is with the special administrator ' s written approval.

Note:

A defendant bears an evidential burden in relation to the matter in subsection (2) (see subsection 13.3(3) of the Criminal Code ).

496-10(2A)    

Subsection (1) does not apply to the extent to which the person is performing or exercising, or purporting to perform or exercise, a function or power as restructuring practitioner for a restructuring plan made by the corporation under Part 5.3B of the Corporations Act (as applied by section 522-1 of this Act).

Note:

A defendant bears an evidential burden in relation to the matter in subsection (2A) (see subsection 13.3(3) of the Criminal Code ).

496-10(3)    
An offence against subsection (1) is an offence of strict liability.

Note:

For strict liability , see section 6.1 of the Criminal Code .

496-10(4)    
Subsection (1) does not remove an officer of an Aboriginal and Torres Strait Islander corporation from his or her office.

496-10(5)    
Section 496-15 does not limit the generality of subsection (1) of this section.

496-10(6)    
This section has effect despite:

(a)    Part 5.2 of the Corporations Act (as applied by section 516-1 of this Act); and

(b)    Part 5.3A of the Corporations Act (as applied by section 521-1 of this Act).

Note:

This means that a receiver, or an administrator appointed under Part 5.3A of the Corporations Act (as applied by section 521-1 of this Act), cannot exercise any powers without the approval of the special administrator.

496-10(7)    
Despite subsection (6) , this section does not affect the validity of anything that a person who is:

(a)    a receiver, or a receiver and manager, of property of the corporation; or

(b)    an administrator of the corporation appointed under Part 5.3A of the Corporations Act;

does after the special administration begins and on or before the day on which the Registrar complies with subsection 493-1(4) in relation to the special administration.