Moneys received by trustees to be paid into a trust account
7 Moneys received by trustees to be paid into a trust account
A trustee shall establish and keep in a financial institution in the State 1 or more trust accounts designated or evidenced as such into which the trustee shall pay all trust moneys.
However, a trustee is not required to pay trust moneys into a trust account if—
the trust moneys consist of a cheque drawn in favour of someone else; and
the trustee is satisfied the person is lawfully entitled to the moneys; and
the trustee immediately gives the person the cheque, personally, by post or at the person’s direction.
A trustee shall not pay—
to the trustee’s general trust account any moneys other than trust moneys received by the trustee; and
to a separate trust account any moneys other than trust moneys received by the trustee for or on behalf of the person on whose behalf or at whose direction the account was established;
but nothing in this subsection prohibits payment into the trustees’ general trust account of moneys received by the trustee where part of such moneys are attributable to professional costs, statutory duties or charges and other proper outlays already incurred or disbursed.
Moneys required by this section to be paid into a trust account shall be so paid daily save where it is not reasonably practicable so to do in which case they shall be so paid as soon as reasonably practicable.
A person must not contravene this section.Maximum penalty—
50 penalty units; or
if the offence is committed with intent to defraud—100 penalty units or 1 year’s imprisonment.
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