Document ID: chunk:federal_register_of_legislation:C2004A04837:section:530:p13
Version: federal_register_of_legislation:C2004A04837
Segment Type: section
Provision Reference: s 530 (pt 13/35)
Character Range: 69416–72231

pay compensation to the person is discharged to the extent of that amount.

Offence to make compensation payment after receiving preliminary notice or recovery payment

"59ZD.(1) If a compensation payer has been given a preliminary notice under section 59Y or a recovery notice under section 59ZA in relation to the payment of compensation to a person, the compensation payer must not make the compensation payment to the person unless:

    (a) in the case of a preliminary notice—the Commission has given the compensation payer written notice that the preliminary notice is revoked; or

    (b) in the case of a recovery notice—the compensation payer has paid to the Commonwealth the amount specified in the notice; or

    (c) the Commission has given to the compensation payer written permission to pay the compensation.

Penalty: Imprisonment for 12 months.

    Note: Subsection 4B(2) of the Crimes Act 1914 allows a court to impose an appropriate fine instead of, or in addition to, a term of imprisonment. If a body corporate is convicted of the offence, subsection 4B(3) of that Act allows a court to impose a fine of an amount that is not greater than 5 times the maximum fine that could be imposed by the court on an individual convicted of the same offence.

"(2) A compensation payer who contravenes subsection (1) is, in addition to being liable to prosecution for an offence under subsection (1), liable to pay to the Commonwealth:

    (a) if the contravention relates to a preliminary notice—an amount determined by the Commission; and

    (b) if the contravention relates to a recovery notice—the recoverable amount specified in the notice.

"(3) The amount determined by the Commission under paragraph (2)(a) may not be more than the smallest of the amounts worked out under:

    (a) if the person is not a member of a couple—subsection 59ZA(4); or

    (b) if the person is a member of a couple—subsection 59ZA(5).

"(4) This section applies in relation to a payment by way of compensation in spite of any law of a State or Territory (however expressed) under which the compensation is inalienable.

"Division 5—Insurers

Commission may send preliminary notice to insurer

"59ZE.(1) If:

    (a) a person makes a claim against a potential compensation payer for compensation in respect of the person's lost earnings or lost capacity to earn; and

    (b) the person receives or claims a compensation affected pension for any period to which the compensation relates; and

    (c) the potential compensation payer's insurer, under a contract of insurance, may be liable to indemnify the potential compensation payer against any liability arising from the claim for compensation;

the Commission may give written notice to the insurer that the Commission may wish to recover an amount from the