Breach of condition relating to crediting of account
123ZI Breach of condition relating to crediting of account
Scope
This section applies if:
a person (the first person) is subject to the income management regime; and
under section 123YI or 123YJ, the Secretary has paid an amount to a third person; and
the payment resulted in the first person’s income management account being debited by an amount equal to the amount paid; and
the third person has breached a condition of the payment.
Recovery
So much of the amount paid as has not been applied by the relevant account holder for the purposes of the acquisition of goods or services is a debt due by the third person to the Commonwealth.
For debt recovery, see Chapter 5 of the 1991 Act.
Crediting of amounts
If the Secretary is aware of the amount (the relevant amount) that has not been applied by the relevant account holder for the purposes of the acquisition of goods or services, the Secretary may determine, in writing, that the first person’s income management account is to be credited by an amount equal to the relevant amount.
If the Secretary makes a determination under subsection (3), then an amount equal to the relevant amount is:
credited to the Income Management Record; and
credited to the first person’s income management account.
This Act’s bill:Explanatory memorandumSecond reading speech
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