Commonwealth Consolidated Regulations Commonwealth Consolidated Regulations(1) For subsections 140E (1), 140F (1) and 140G (1) of the Act, the Minister must, in accordance with this regulation, approve or reject an application for approval as a standard business sponsor made under regulation 1.20C.
(2) Subject to subregulations (2A) and (2B), the Minister must approve the application if:
(a) the Minister is satisfied that the applicant for approval is actively and lawfully operating outside Australia a business in which the employment in Australia of the holder of a Subclass 457 (Business (Long Stay)) visa would contribute to:
(i) the creation or maintenance of employment for Australian citizens or Australian permanent residents; or
(ii) expansion of Australian trade in goods or services; or
(iii) the improvement of Australian business links with international markets; or
(iv) competitiveness within sectors of the Australian economy; and
(b) in respect of each visa applicant who seeks to satisfy the primary criteria for a Subclass 457 visa to be granted on the basis that:
(i) the applicant for approval is the employer referred to in subclause 457.223 (5) of Schedule 2 in relation to the visa application; and
(ii) the visa applicant satisfies the requirements of that subclause;
the Minister is satisfied that:
(iii) the applicant for approval proposes to be the direct employer in Australia of the visa applicant as the holder of the visa (in this subregulation called the visa holder ); or
(iv) if the applicant for approval is a body corporate -- the applicant for approval is, under section 50 of the Corporations Act 2001 , related to the body corporate that proposes to be the direct employer in Australia of the visa holder; and
(d) the Minister is satisfied that where relevant, the applicant for approval has a satisfactory record of compliance with the immigration laws of Australia; and
(e) the Minister is satisfied that while there is in effect a Subclass 457 visa granted on the basis that:
(i) the applicant for approval is the employer referred to in subclause 457.223 (5) of Schedule 2 in relation to a visa application; and
(ii) the visa holder satisfies the requirements of that subclause;
the applicant for approval is able, in relation to each visa holder, to comply with the undertakings given by the applicant in accordance with approved form 1196; and
(f) the Minister is satisfied that, if an authorised officer requires security for compliance with the provisions of the Act and these Regulations in relation to the applicant's undertakings as a sponsor, the applicant has given the security.
(2A) Subject to subregulation (2B), the Minister must not approve the application if:
(a) the Minister is aware that adverse information is known to Immigration about the business background of:
(i) the applicant for approval; or
(ii) any officer or other senior or responsible person of any of the entities that constitute the applicant for approval; or
(iii) any individual who is a member of a partnership or unincorporated association that is 1 of the entities that constitute the applicant for approval; or
(b) the Minister is aware that:
(i) the applicant for approval is under investigation or subject to legal action in relation to:
(A) an alleged breach of an undertaking given for the purposes of Division 3A of Part 2 of the Act; or
(B) an alleged breach of a law of the Commonwealth or a State or Territory; or
(ii) an officer or other senior or responsible person of any of the entities that constitute the applicant for approval is under investigation or subject to legal action in relation to:
(A) an alleged breach of an undertaking given for the purposes of Division 3A of Part 2 of the Act; or
(B) an alleged breach of a law of the Commonwealth or a State or Territory; or
(iii) an individual who is a member of a partnership or unincorporated association that is 1 of the entities that constitute the applicant for approval is under investigation or subject to legal action in relation to:
(A) an alleged breach of an undertaking given for the purposes of Division 3A of Part 2 of the Act; or
(B) an alleged breach of a law of the Commonwealth or a State or Territory;
(2B) The Minister may approve the application, despite subregulation (2A), if he or she considers it reasonably appropriate to do so.
Note Circumstances in which it may be reasonably appropriate for the Minister to approve the application, despite the existence of adverse information about the business background of the sponsor or an investigation for breach of an undertaking or non‑compliance with Australian law, could include a situation in which the adverse information or the potential outcome of the investigation would not, in the Minister's opinion, result in the sponsorship applicant being deemed unfit to be a sponsor.
(2C) In subparagraphs (2A) (a) (ii) and (b) (ii):
officer , for a corporation, means an officer of the corporation within the meaning of the Corporations Act 2001 .
(3) An approval of a person as a standard business sponsor must specify the maximum number of nominations of business activities, being a number not exceeding the number proposed in the application for approval, that may be approved under regulation 1.20H in relation to the standard business sponsor while the approval is in effect.
(4) As soon as practicable after deciding the application, the Minister must provide the applicant with:
(a) a copy of the written approval or rejection of the application; and
(b) if the application is rejected, a statement of the reasons why the application was not approved.
(5) An approval of a person as a standard business sponsor ceases to have effect on the earliest of:
(a) when the number of Subclass 457 visas granted, since the giving of the approval, on the basis that:
(i) the applicant satisfies the primary criteria; and
(ii) the standard business sponsor is the employer (within the meaning of subclause 457.223 (5) of Schedule 2);
is equal to the number of nominations of business activities determined under subregulation (3) in relation to that approval of that standard business sponsor; and
(b) the end of the period of 24 months commencing on the day on which the approval is given; and
(c) cancellation of the approval under section 137B of the Act.