Commonwealth Consolidated Acts

FINANCIAL TRANSACTION REPORTS ACT 1988 - SECT 19

             (1)  The AUSTRAC CEO shall, as soon as practicable after receiving a notice under subsection 18(8), give notice in writing to the signatory or signatories to the account at the address or addresses given to the cash dealer in relation to the account, stating the effect of this section.

             (2)  If, within 3 months after the notice, or the last of the notices, is given under subsection (1), the AUSTRAC CEO is satisfied that:

                     (a)  there are reasonable grounds to believe that section 18 did not apply to the account; or

                     (b)  the cash dealer has the account and signatory information and the account should not, as a result, be blocked; or

                     (c)  if the account was blocked only because of subsection 18(2A)--the unverified signatory has ceased to be a signatory of the account;

the AUSTRAC CEO shall give written notice of that fact to the cash dealer and the signatory or signatories to the account.

             (3)  If, at the end of the period referred to in subsection (2), the AUSTRAC CEO is not satisfied that paragraph (2)(a), (b) or (c) applies, the AUSTRAC CEO shall:

                     (a)  give written notice of that fact to the cash dealer and the signatory or signatories to the account, setting out the effect of subsections (4) and (5); and

                     (b)  give a copy of the notice to the Minister.

             (4)  If the AUSTRAC CEO gives a notice under subsection (3), all rights and interests in relation to the account held by the unverified signatory are forfeited to the Commonwealth, and the Minister, the AUSTRAC CEO or an officer of AUSTRAC authorised by the AUSTRAC CEO may, on behalf of the Commonwealth, do whatever is necessary to realise those rights and interests (including closing the account).

             (5)  If:

                     (a)  the AUSTRAC CEO's decision under subsection (3) is set aside by a court; or

                     (b)  a person satisfies the court that:

                              (i)  immediately before the time when subsection (4) had effect in relation to the account, the person had a beneficial interest in a right or interest in relation to the account held by the unverified signatory; and

                             (ii)  an amount standing to the credit of the account immediately before that time had not been derived from unlawful activities;

the court may make such orders as it thinks fit in relation to that amount, including directions to the Commonwealth to make restitution of so much of that amount as has been recovered by the Commonwealth under subsection (4).

             (6)  An expression used in this section has the same meaning as in section 18.