Section 1229F — Corporations Act 2001: Compensation orders—State and Territory laws

Compensation for penalties incurred etc. (1) A Court may on application under subsection (5) order a person to compensate a CCIV for loss or damage suffered by the CCIV if: (a) the CCIV contravened, or allegedly contravened, a provision covered by subsection (2); and (b) the loss or damage is: (i) a pecuniary penalty to which the CCIV is liable in respect of the contravention or alleged contravention; or (ii) an amount paid by the CCIV in settlement of proceedings in respect of the contravention or alleged contravention; and (c) the person was the corporate director of the CCIV at the time of the contravention or alleged contravention; and (d) the exception in subsection (3) does not apply. The order must specify the amount of the compensation. State and Territory offences and civil penalty provisions (2) A provision of a law of a State or Territory is covered by this subsection if a contravention of the provision is an offence, or subject to a civil penalty. Exception where liquidator etc. acting (3) Subsection (1) does not apply if the conduct constituting the contravention or alleged contravention was engaged in solely as a result of an exercise of powers by: (a) a liquidator or provisional liquidator of a sub-fund of the CCIV; or (b) a receiver, or receiver and manager, of the property of a sub-fund of the CCIV; or (c) a trustee or other person administering a compromise or arrangement made between the CCIV and someone else. Recovery of damage (4) A compensation order may be enforced as if it were a judgment of the Court. Who may apply (5) An application for a compensation order under this section may be made by any of the following: (a) ASIC; (b) a member of the CCIV; (c) the CCIV. Other laws not affected (6) This section does not affect any liability that a person has under any other law.