South Australian Current Regulations

SECURITY AND INVESTIGATION INDUSTRY REGULATIONS 2011 - REG 28

28—Withdrawal of trust money

        (1)         A collection agent must not withdraw, or permit another person to withdraw, money from a trust account except—

            (a)         for payment to the person entitled to the money or in accordance with the directions of that person; or

            (b)         in satisfaction of a claim for commission, fees, costs or disbursements that the agent has against the person on behalf of whom the money is held; or

            (c)         to satisfy an order of a court against the person on behalf of whom the agent is holding the money; or

            (d)         for payment into a court before which proceedings have been instituted in relation to the money; or

            (e)         for the purpose of dealing with the money in accordance with the Unclaimed Moneys Act 1891 ; or

            (f)         for making any other payment authorised by law.

Maximum penalty: $2 500.

        (2)         A collection agent must not make a payment of trust money in cash.

Maximum penalty: $2 500.

        (3)         When a collection agent makes a payment of trust money by cheque, the agent—

            (a)         must ensure that the cheque is marked with the name of the agent and the words "Trust Account"; and

            (b)         must—

                  (i)         cause the cheque to be crossed and endorsed "Not negotiable"; or

                  (ii)         obtain from the person receiving the cheque a receipt that complies with subregulation (5) and keep the receipt as part of the agent's records.

Maximum penalty: $2 500.

        (4)         When a collection agent makes a payment of trust money by cheque, the agent must prepare and keep as part of the agent's records a cheque stub or voucher containing the following information:

            (a)         the date and reference number of the cheque;

            (b)         the name of the payee;

            (c)         the client name or reference and brief particulars of the purpose of the payment;

            (d)         the amount of the cheque.

        (5)         The receipt must be legible and contain the following information:

            (a)         the date and reference number of the cheque; and

            (b)         particulars identifying the trust account against which the cheque is drawn; and

            (c)         the name of the payee; and

            (d)         brief particulars of the purpose of the payment; and

            (e)         the amount of the cheque.

        (6)         When a collection agent authorises the payment of trust money by electronic transfer of funds, the agent—

            (a)         must prepare and keep as part of the agent's records the following information:

                  (i)         the date and reference number of the payment;

                  (ii)         the name of the payee;

                  (iii)         the client name or reference and brief particulars of the purpose of the payment;

                  (iv)         the name or style of the ADI account to which the payment is made, its number and the identifying numbers of the receiving ADI and its branch;

                  (v)         the amount of the payment; and

            (b)         must, on receiving official written confirmation that the payment has been made, keep that confirmation as part of the agent's records.