(1) In exercising a power under this Act or the regulations to vary, suspend or cancel a civil aviation authorisation, CASA may disregard a reportable contravention if, having regard to the circumstances in which the contravention occurred, the holder of the authorisation proves to CASA, in accordance with section 30DP, that the holder reported the contravention to the prescribed person:
(a) within 10 days after the contravention; and
(b) before the holder was given the show cause notice for the proposed decision.
(2) If:
(a) the holder of a civil aviation authorisation is given an infringement notice under the regulations; and
(b) the holder proves to CASA, in accordance with section 30DP, that the holder reported the contravention to the prescribed person:
(i) within 10 days after the contravention; and
(ii) before the holder was given the infringement notice;
then:
(c) the holder is not required to pay the penalty specified in the infringement notice; and
(d) the notice is taken to be withdrawn.