Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) Subject to subsection (2), a person must not, either alone or together with one or more other persons, enter into, begin to carry out or carry out a scheme if:
(a) it would be concluded that the person, or any of the persons, who entered into, began to carry out or carried out the scheme or any part of the scheme did so for the sole purpose or for a purpose (that is not incidental) of avoiding the application of any provision of this Part in relation to any person or persons (whether or not a person or persons who entered into, began to carry out or carried out the scheme or any part of the scheme); and
(b) the scheme or the part of the scheme has achieved, or apart from this section, would achieve, that purpose.
Note: This section is a civil penalty provision (see section 1317E).
(2) Subsection (1) does not apply to a scheme to the
extent that the operation of the subsection would result in an
acquisition of property (within the meaning of paragraph 51(xxxi) of
the Constitution) from a person otherwise than on just terms (within the
meaning of that paragraph of the Constitution).