Commonwealth Consolidated Acts

BANKRUPTCY ACT 1966 - SECT 186LA

Scope

             (1)  This section applies to a bank if:

                     (a)  the Inspector-General believes on reasonable grounds that:

                              (i)  a person who is or was an administrator of a debt agreement holds or held an account with the bank; and

                             (ii)  the account was kept, or purportedly kept, in compliance with subsection 185LD(1); and

                     (b)  the Inspector-General has asked the person:

                              (i)  under subsection 186K(3) or 186L(3), to give the Inspector-General a written explanation why the person should continue to be registered as a debt agreement administrator; or

                             (ii)  under subsection 40-40(1) of Schedule 2, to give the Inspector-General a written explanation why the person should continue to be registered as a trustee; and

                     (c)  if subparagraph (b)(ii) applies--the Inspector-General asked for the explanation on the basis of paragraph 40-40(1)(m) of Schedule 2.

          (1A)  This section also applies to a bank if:

                     (a)  the Inspector-General believes on reasonable grounds that:

                              (i)  a person who is or was an administrator of a debt agreement holds or held an account with the bank; and

                             (ii)  the account was kept, or purportedly kept, in compliance with subsection 185LD(1); and

                     (b)  the Inspector-General reasonably suspects that, in connection with the account, the person has:

                              (i)  contravened a provision of this Act; or

                             (ii)  failed to properly carry out the duties of an administrator in relation to the debt agreement; or

                            (iii)  contravened a condition of the person's registration as a registered debt agreement administrator.

Requirement

             (2)  The Inspector-General may, by written notice given to the bank, require the bank to give to the Inspector-General, within the period and in the manner specified in the notice, such information about the account as is specified in the notice.

Offence

             (3)  A person commits an offence if:

                     (a)  the person has been given a notice under subsection (2); and

                     (b)  the person omits to do an act; and

                     (c)  the omission contravenes a requirement in the notice.

Penalty for contravention of this subsection:        60 penalty units.