Document ID: chunk:federal_register_of_legislation:F2023C00203:clause:6_40
Version: federal_register_of_legislation:F2023C00203
Segment Type: clause
Provision Reference: sch 6 cl 40
Character Range: 103369–105352

40  Payment of trust money
 (1) A manager must not make a payment of trust money in cash.
Maximum penalty: 5 penalty units.
 (2) When a manager makes a payment of trust money by cheque, the manager:
 (a) must ensure that the cheque is marked with the name of the manager 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 subclause (4) and keep the receipt as part of the manager's records.
Maximum penalty: 5 penalty units.
 (3) When a manager makes a payment of trust money by cheque, the manager must prepare and keep as part of the manager'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.
 (4) The receipt must be legible and contain the following information:
 (a) the date and reference number of the cheque;
 (b) particulars identifying the trust account against which the cheque is drawn;
 (c) the name of the payee;
 (d) brief particulars of the purpose of the payment;
 (e) the amount of the cheque.
 (5) When a manager authorises the payment of trust money by electronic transfer of funds, the manager:
 (a) must prepare and keep as part of the manager's records the following information:
 (i) the date and reference number of the payment;
 (ii) the name of the payee;
 (iii) the body corporate name or reference and brief particulars of the purpose of the payment;
 (iv) the name or style of the account to which the payment is made, its number and the identifying numbers of the receiving bank or institution 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 manager's records.