The person is liable whether or not the person has been convicted of an
offence in relation to the contravention.
(2) The company's liquidator may recover from the person an amount equal to
the loss or damage as a debt due to the company.
- Note: Because employee
entitlements are priority payments under paragraphs 556(1)(e) to (h),
employees have priority to any compensation recovered by the liquidator in
proceedings brought under this section.
(3) If an employee of the company has suffered loss or damage because of:
- (a)
- the contravention; or
- (b)
- action taken to give effect to an agreement or transaction involved in the
contravention;
the employee may, as provided in section 596AF to 596AI (but not
otherwise), recover from the person, as a debt due to the employee, an amount
equal to the amount of the loss or damage. Any amount recovered by the
employee under this subsection is to be taken into account in working out the
amount for which the employee may prove in the liquidation of the company.
(4) Proceedings under this section may only be begun within 6 years after the
beginning of the winding up.
Commonwealth Numbered Acts