Environment Protection Act 1997

The Supreme Court may order a corporation to comply with an assessment order or remediation order at the corporation’s own expense if the corporation was the holding company of a company that—

has been wound up within 2 years before the court’s order is made; and

has failed to comply with the assessment order or remediation order.

The corporation must comply with the assessment order or remediation order, subject to any modification by the Supreme Court.

The Supreme Court may make an order under this section only if satisfied, on an application by the authority, that—

the corporation was the holding company of the other company at the time when the assessment order or remediation order was made; and

there is reason to believe that the other company was wound up as part of a scheme to avoid compliance with the assessment order or remediation order.

There is reason for belief of the kind mentioned in subsection (3) (b) if—

the corporation contravened the Corporations Act, section 588V in relation to the other company; and

there was (at the time or times when the contravention happened) reason to believe that the land was contaminated; and

if a regulation made for this section applies—the prescribed conditions are satisfied.

Despite subsection (4), there is reason for belief of the kind mentioned in subsection (3) (b) also if—

the other company carried out 1 or more transactions—

that were voidable because of the Corporations Act, section 588FE; or

that were such that the liquidator of the other company had a right to recovery of cash under the Corporations Act, section 567; or

by which the other company incurred a debt in relation to which a person contravened the Corporations Act, section 588G; and

there was (at the time or times when the other company entered those transactions or a substantial part of them) reason to believe that the land was contaminated.

The fact that the relevant assessment order or remediation order was partially complied with by the other company does not exclude the possibility that there is reason to form the belief mentioned in subsection (3).

For this section, the fact that steps are taken to wind up a company before the authority makes an assessment order or remediation order in relation to the company does not preclude the Supreme Court from finding that there is reason to believe that the company was wound up as part of a scheme to avoid compliance with the order.

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