Document ID: chunk:federal_register_of_legislation:C2025C00154:section:161:p1
Version: federal_register_of_legislation:C2025C00154
Segment Type: section
Provision Reference: s 161 (pt 1/3)
Character Range: 185791–188365

161  Power of Court to prohibit payment or transfer of money or property

Court's power to protect interests of certain creditors etc.
 (1) If:
 (a) any of the following applies:
 (i) an investigation is being carried out under this Act in relation to an act or omission by a person (the contravening person), being an act or omission that constitutes or may constitute a contravention of this Act; or
 (ii) a prosecution has begun against a person (also the contravening person) for a contravention of this Act or the Financial Sector (Collection of Data) Act 2001; or
 (iii) a civil proceeding has begun against a person (also the contravening person) under this Act; and
 (b) the Regulator or a person (an aggrieved person) to whom the contravening person is liable, or may become liable:
 (i) to pay money (whether in respect of a debt, by way of damages or compensation or otherwise); or
 (ii) to account for property;
  applies to the Court; and
 (c) the Court considers it necessary or desirable to make such an order for the purpose of protecting the interests of an aggrieved person;
the Court may make one or more of the orders specified in subsection (4).

Court's power to protect the interests of holders
 (2) If:
 (a) the Regulator is of the opinion that it is necessary for the Court to make one or more of the orders specified in subsection (4) to protect the interests of any or all of the holders of an RSA; and
 (b) the Regulator applies to the Court for such an order in relation to the RSA provider; and
 (c) the Court considers it necessary or desirable to protect the interests of any or all of the holders;
the Court may make one or more of the orders specified in subsection (4).
 (3) For the purposes of subsection (2), subsection (4) has effect as if any reference to the contravening person were a reference to the RSA provider.

Orders that Court may make
 (4) The orders that the Court may make are the following:
 (a) an order prohibiting a person who is indebted to the contravening person or to an associate of the contravening person from making a payment in total or partial discharge of the debt to:
 (i) the contravening person or associate; or
 (ii) another person at the direction or request of the contravening person or associate;
 (b) an order prohibiting a person holding money or property on behalf of the contravening person or of an associate of the contravening person from:
 (i) paying all or any of the money; or
 (ii) transferring or otherwise parting with possession of the property;
  to:
 (iii) the contravening person or