Bankruptcy Amendment (Debt Agreement Reform) Act 2018 (118 of 2018)

Schedule 3   Registered debt agreement administrators

Part 1   Applications for registration

Bankruptcy Act 1966

13   Subsection 186C(5)

Repeal the subsection, substitute:

(5) If:

(a) the applicant is a company; and

(b) the application is by way of renewal;

the Inspector-General must approve the application if the Inspector-General is satisfied that:

(c) the applicant has produced evidence in writing to the Inspector-General that the applicant maintains:

(i) adequate and appropriate professional indemnity insurance; and

(ii) adequate and appropriate fidelity insurance;

against the liabilities that the applicant may incur working as a registered debt agreement administrator; and

(d) the applicant does not owe more than the prescribed amount of notified estate charges.

Otherwise the Inspector-General must refuse to approve the application.

Note: For notified estate charge , see subsection (5A).

When a notified estate charge is owed

(5A) A person owes a notified estate charge if:

(a) the person owes either of the following:

(i) a charge under the Bankruptcy (Estate Charges) Act 1997 (the estate charge );

(ii) a penalty under section 281 (late payment penalty) of this Act in respect of that charge; and

(b) the Inspector-General notified the person of the unpaid estate charge at least 1 month and 10 business days before the person's registration as a debt agreement administrator ceases to be in force.