Document ID: chunk:federal_register_of_legislation:F2020L01668:body:0:p14
Version: federal_register_of_legislation:F2020L01668
Segment Type: other
Provision Reference: 
Character Range: 35565–38528

agreement administrator

       * is not a fit and proper person

       * a director of the company is not a fit and proper person

       * has contravened a condition of registration.

4.8 Such action may follow the identification of breaches and deficiencies in practices either during inspection, through the investigation of complaints or other compliance activity, or through the identification of questionable conduct issues by any means (such as criminal or civil action, actions taken by other regulators or disciplinary bodies).

4.9 In relation to the fit and proper test, from 27 June 2019, the Inspector-General may take action to cancel the registration of a practitioner if conduct which does not meet the expectations of the community is identified.[8] For individuals or corporations acting in a position of trust as an administrator of debt agreements, being of good fame and character and acting with honesty and integrity at all times is an expectation held by the Inspector-General on behalf of the broader community. Any evidence that this standard is not being met will result in some form of sanction, including action taken to cancel the registration of an administrator.

4.10 Should the individual with overall management responsibility resign from their employment with the registered company administrator or have their registration cancelled, the onus is on the individual and the company to notify the Inspector-General as soon as possible as to who is replacing that person. If a company continues to conduct debt agreement activities without a registered debt agreement administrator with overall management responsibility, the Inspector-General may seek an explanation as to why the company should remain registered.

4.11 An administrator's activity will also be monitored and should there be periods where an administrator has ceased to practice, this may give rise to enquiries aimed at establishing whether the administrator has maintained their knowledge and ability.

4.12 The failure on the part of a registered trustee, acting as an administrator, to properly carry out the duties of an administrator provides grounds pursuant to section 40-40 of the IPS for the Inspector-General to consider whether to continue their registration as a trustee under the Act. This includes when the trustee has not acted in a fit and proper manner.

Voluntary cancellation of registration

4.13  Only registered administrators can surrender their registration. When this is proposed the administrator will need to provide a written notice in the approved form to the Inspector-General, requesting acceptance of the surrender of their registration.

4.14  AFSA Regulation and Enforcement will then liaise with the administrator to ascertain the status of uncompleted debt agreements and to ensure that necessary work has been undertaken prior to accepting the request. Generally approval will only be given if all the following