Certain persons unfit to be involved in administration of charitable trusts
46 Certain persons unfit to be involved in administration of charitable trusts
Except as provided in subsection (2), a person must not be involved in the administration of a charitable trust if the person is any of the following —
a person who is an insolvent under administration as defined in the Corporations Act 2001 (Commonwealth) section 9;
a person who is the director of a corporation that is insolvent or under administration as those terms are defined in the Corporations Act 2001 (Commonwealth) section 9;
a person who was the director of a corporation at the time it became insolvent or went into administration as those terms are defined in the Corporations Act 2001 (Commonwealth) section 9;
a person who is disqualified by or under a written law or a law of another State, a Territory or the Commonwealth from being employed, engaged or otherwise involved in the management of a body corporate or other entity registered under the Australian Charities and Not‑for‑profits Commission Act 2012 (Commonwealth);
a person —
in relation to whom an order has been made under section 45(1)(a) or (b); or
who has been otherwise removed as trustee of a charitable trust by order of the Court;
a person who has been convicted of an offence involving fraud or dishonesty;
a body corporate of which an individual referred to in any of paragraphs (a) to (f) is a director.
Penalty for this subsection: imprisonment for 1 year and a fine of $50 000.
Subsection (1) applies to a person in respect of a charitable trust unless the Court grants leave under subsection (5) for the person to be involved in the administration of a charitable trust.
A person to whom subsection (1) applies may apply to the Court for leave to be involved in the administration of a charitable trust.
The Attorney General is a party to the application.
On receipt of the application the Court may, subject to any conditions the Court considers appropriate, grant the leave if it considers there are exceptional circumstances warranting the granting of the leave.
A person to whom subsection (1) applies who has not been granted leave under subsection (5) (a person who is unfit) —
cannot be appointed as a trustee of a charitable trust; and
if the person is a trustee of a charitable trust when the person becomes unfit — is, by force of this section, removed as trustee on the later of —
30 days after the person becomes unfit; or
if the person applies for leave under subsection (3) within 30 days after the person becomes unfit and leave is refused — the day on which leave is refused.
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