Document ID: chunk:federal_register_of_legislation:C2025C00156:section:124zh
Version: federal_register_of_legislation:C2025C00156
Segment Type: section
Provision Reference: s 124ZH
Character Range: 677706–679764

124ZH  Breach of condition of Bonded Medical Program—repayment of education costs
 (1) This section applies if, when a person is a bonded participant:
 (a) both:
 (i) the person breaches the condition mentioned in paragraph 124ZG(1)(a); and
 (ii) the breach occurs after the person's census date for the second year of the person's course of study in medicine at an Australian university; or
 (b) the person breaches the condition mentioned in paragraph 124ZG(1)(c).
 (2) Subject to subsection (4), the person must pay:
 (a) if the person is a bonded participant covered by subsection 124ZE(1) or (2)—both:
 (i) 100% of the cost of the person's course of study in medicine at an Australian university, as funded by the Commonwealth as a benefit to the person as a student, less a pro‑rata proportion based on any proportion of return of service obligation completed; and
 (ii) interest on the amount worked out under subparagraph (i) and applied in accordance with the Bonded Medical Program rules; and
 (b) if the person is a bonded participant covered by subsection 124ZE(3)—both:
 (i) 100% of the Commonwealth funded scholarship provided to the person in relation to their course of study in medicine at an Australian university as a benefit to the person as a student, less a pro‑rata proportion based on any proportion of return of service obligation completed; and
 (ii) interest on the amount worked out under subparagraph (i) and applied in accordance with the Bonded Medical Program rules.
 (3) The amounts mentioned in subsection (2) are recoverable as a debt due to the Commonwealth from the person or the estate of the person.
 (4) Subsection (2) does not apply to a person if:
 (a) a determination is made under subsection 124ZEA(3) that exceptional circumstances apply in relation to the person; and
 (b) the written notice of the determination includes a statement that the Secretary is satisfied that the person breached the condition mentioned in paragraph 124ZG(1)(a) or (c) (as applicable) as a result of those exceptional circumstances.