CORPORATIONS (ABORIGINAL AND TORRES STRAIT ISLANDER) ACT 2006 - SECT 531.1 Applying Corporations Act insolvent trading and creditor - defeating disposition provisions to Aboriginal and Torres Strait Islander corporations
CORPORATIONS (ABORIGINAL AND TORRES STRAIT ISLANDER) ACT 2006 - SECT 531.1
Applying Corporations Act insolvent trading and creditor - defeating disposition provisions to Aboriginal and Torres Strait Islander corporations(1) The Corporations Act insolvent trading and creditor - defeating disposition provisions apply to an Aboriginal and Torres Strait Islander corporation as if the following substitutions were made:
Substitutions to be made | ||
Item | For a reference to... | substitute a reference to... |
1 | a company | |
2 | a dividend | any distribution by the corporation to its members (whether of capital or income) |
3 | civil penalty order (within the meaning of this Act) | |
4 | civil penalty provision (within the meaning of this Act) | |
Note: Although section 526 - 35 applies the provisions of Part 5.7B to the winding up of an Aboriginal and Torres Strait Islander corporation, the insolvent trading and creditor - defeating disposition provisions are capable of applying independently of there being a winding up. This section ensures, for example, that a director of an Aboriginal and Torres Strait Islander corporation commits an offence if the corporation trades while insolvent (regardless of whether winding up proceedings are ever commenced).
(2) This section has effect without limiting section 526 - 35.
" Corporations Act insolvent trading and creditor-defeating disposition provisions" means:
(a) Divisions 3, 4, 5 and 6 of Part 5.7B of the Corporations Act; and
(b) the other provisions of that Act (including Parts 1.2 and 9.4 and Schedule 3 but not including Parts 1.1, 1.1A and 9.4A) to the extent to which they relate to the operation of the Divisions referred to in paragraph (a); and
(c) the regulations made under that Act for the purposes of the
Divisions of that Act referred to in paragraph (a) and the provisions
referred to in paragraph (b).