Commonwealth Consolidated Acts

COMPETITION AND CONSUMER ACT 2010 - SECT 86E

  (1)   On application by the Commission, the Court may make an order disqualifying a person from managing corporations for a period that the Court considers appropriate if:

  (a)   the Court is satisfied that the person has contravened, has attempted to contravene or has been involved in a contravention of Part   IV or IVE, subsection   56BN(1), 56BO(1), 56BU(1) or 56CC(1), section   56CD, a civil penalty provision of a gas market instrument or a civil penalty provision of the consumer data rules; and

  (b)   the Court is satisfied that the disqualification is justified.

Note:   Section   206EA of the Corporations Act 2001 provides that a person is disqualified from managing corporations if a court order is in force under this section. That Act contains various consequences for persons so disqualified.

  (1A)   On application by the Director of Public Prosecutions, the Court may make an order disqualifying a person from managing corporations for a period that the Court considers appropriate if:

  (a)   the Court is satisfied that the person has contravened or has been involved in a contravention of section   45AF or 45AG or subsection   56BN(1) or 56CC(1); and

  (b)   the Court is satisfied that the disqualification is justified.

Note:   Section   206EA of the Corporations Act 2001 provides that a person is disqualified from managing corporations if a court order is in force under this section. That Act contains various consequences for persons so disqualified.

  (2)   In determining under subsection   (1) or (1A) whether the disqualification is justified, the Court may have regard to:

  (a)   the person's conduct in relation to the management, business or property of any corporation; and

  (b)   any other matters that the Court considers appropriate.

  (3)   The Commission must notify ASIC if the Court makes an order under subsection   (1). The Commission must give ASIC a copy of the order.

Note:   ASIC must keep a register of persons who have been disqualified from managing corporations: see section   1274AA of the Corporations Act 2001 .

  (3A)   The Director of Public Prosecutions must notify ASIC if the Court makes an order under subsection   (1A). The Director of Public Prosecutions must give ASIC a copy of the order.

Note:   ASIC must keep a register of persons who have been disqualified from managing corporations--see section   1274AA of the Corporations Act 2001 .

  (3B)   For the purposes of this Act (other than this section or section   86F), an order under this section is not a penalty.