Commonwealth Consolidated Regulations

INSOLVENCY PRACTICE RULES (BANKRUPTCY) 2016 - RULE 65.5

  (1)   This section:

  (a)   is made for the purposes of paragraph   65 - 50(a) of the Insolvency Practice Schedule (Bankruptcy); and

  (b)   applies if:

  (i)   the trustee of a regulated debtor's estate pays money out of the administration account in contravention of subsection   65 - 25(1) of the Insolvency Practice Schedule (Bankruptcy); and

  (ii)   the amount exceeds $50; and

  (iii)   the trustee does not have a reasonable excuse for doing so.

  (2)   The trustee must, by way of penalty, pay interest to the Commonwealth at the rate of 20% per annum on the amount for the period:

  (a)   beginning at the start of the day that the amount was paid out of the administration account; and

  (b)   ending at the end of the day that an amount equal to that amount is paid into the administration account by the trustee.