Commonwealth Consolidated Acts

CORPORATIONS ACT 2001 - SECT 1317HA

Compensation for damage suffered

  (1)   A Court may order a person (the liable person ) to compensate another person (including a corporation), registered scheme or notified foreign passport fund for damage suffered by the person, scheme or fund if:

  (a)   the liable person has contravened a financial services civil penalty provision; and

  (b)   the damage resulted from the contravention.

The order must specify the amount of compensation.

Note:   An order may be made under this subsection whether or not a declaration of contravention has been made under section   1317E.

Damage includes profits

  (2)   In determining the damage suffered by a person, scheme or fund for the purposes of making a compensation order, include profits made by any person resulting from the contravention.

Damage includes diminution of value of scheme or fund property

  (3)   In determining the damage suffered by a registered scheme or notified foreign passport fund for the purposes of making a compensation order, include any diminution in the value of the property of the scheme or fund.

  (4)   If the responsible entity for a registered scheme is ordered to compensate the scheme, the responsible entity must transfer the amount of the compensation to the scheme property. If anyone else is ordered to compensate the scheme, the responsible entity may recover the compensation on behalf of the scheme.

  (4A)   If the operator of a notified foreign passport fund is ordered to compensate the fund, the operator must transfer the amount of the compensation to the fund property. If anyone else is ordered to compensate the fund, the operator may recover the compensation on behalf of the fund.

Recovery of damage

  (5)   A compensation order may be enforced as if it were a judgment of the Court.