Victorian Consolidated Legislation

Trustee Companies Act 1984 - SECT 39

Payments out of reserve fund

39. Payments out of reserve fund



(1) An amount in the reserve fund of a trustee company shall not be paid out
of the reserve fund except in accordance with this section.

(2) Subject to section 51, a trustee company may withdraw from its reserve
fund any amount exceeding the amount that, under this Act, the trustee company
is required to keep in the reserve fund.

(3) In the event of the appointment of a liquidator, a receiver, a receiver
and manager or an official manager of a trustee company, moneys in its reserve
fund are available for the following purposes-

   (a)  first, for the payment of sums due from the trustee company to estates
        committed to the trustee company's administration or management in
        Victoria;





   (b)  secondly, for the payment of sums due from the trustee company to
        persons in respect of moneys (not being an estate or part of an
        estate) paid in Victoria to the trustee company for investment in a
        common fund;

   (c)  thirdly, for the payment of sums due from the trustee company to
        estates committed to the trustee company's administration or
        management outside Victoria;

   (d)  fourthly, for the payment of sums due from the trustee company to
        persons in respect of moneys (not being an estate or part of an
        estate) paid outside Victoria to the trustee company for investment in
        a common fund;

   (e)  fifthly, for the payment of the debts of the trustee company.

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