Document ID: chunk:federal_register_of_legislation:C2025C00182:section:12gbd
Version: federal_register_of_legislation:C2025C00182
Segment Type: section
Provision Reference: s 12GBD
Character Range: 201625–203222

12GBD  Indemnification of officers

Officers not to be indemnified
 (1) A body corporate (the first body), or a body corporate related to the first body, must not indemnify a person (whether by agreement or by making a payment and whether directly or through an interposed entity) against any of the following liabilities incurred as an officer of the first body:
 (a) a liability to pay an amount under:
 (i) a pecuniary penalty order made under section 12GBB; or
 (ii) a relinquishment order made under section 12GBCC;
 (b) legal costs incurred in defending or resisting proceedings in which the person is found to have such a liability.
Penalty: 300 penalty units.
 (2) For the purposes of subsection (1), the outcome of proceedings is the outcome of the proceedings and any appeal in relation to the proceedings.
 (3) Subsection (1) does not authorise anything that would otherwise be unlawful.

Indemnities are void
 (4) Anything that purports to indemnify a person against a liability is void to the extent that it contravenes subsection (1).

Application of this section to a person other than a body corporate
 (5) If, as a result of the operation of Part 2.4 of the Criminal Code, a person other than a body corporate is:
 (a) convicted of an offence (the relevant offence) against subsection (1) of this section; or
 (b) convicted of an offence (the relevant offence) against section 11.4 of the Criminal Code in relation to an offence referred to in subsection (1) of this section;
the relevant offence is taken to be punishable on conviction by a fine not exceeding 30 penalty units.