Restraining bank etc. from dealing with agent’s account, SAT’s powers as to
92 Restraining bank etc. from dealing with agent’s account, SAT’s powers as to
Where the Commissioner, on an application made by the Commissioner to the State Administrative Tribunal, shows by evidence on affidavit to the satisfaction of the State Administrative Tribunal that —
there are reasonable grounds for believing that there is a deficiency in the trust account of any agent; or
there has been undue or unreasonable refusal, neglect, or delay on the part of any agent in paying moneys,
which are, or may be, or have been payable out of the trust account of the agent; or
which were required to be paid into the trust account by the agent under the provisions of this Part,
to a person who is entitled thereto or is authorised to receive the moneys,
the State Administrative Tribunal may, if it thinks fit, make an order that the manager or other officer for the time being in charge of the bank or other body in which the trust account or any other account in the name of the agent is kept be restrained, until the order is made absolute or discharged, from paying out, transferring or otherwise dealing with any moneys standing to the credit of the trust account or any other account kept at the bank or other body in the name of the agent.
An order made under the provisions of this section may contain such terms and conditions as the State Administrative Tribunal in the circumstances thinks fit and the order may relate to all or any one or more of the trust or other accounts, as the State Administrative Tribunal determines.
The order shall be made in the first instance ex parte, without any notice to the agent, and is an order to show cause only.
Unless the agent referred to in the order shows to the State Administrative Tribunal within the time specified in the order sufficient cause to the contrary, the order, after proof of service as required by section 99 shall be made absolute.
In this section and in such provisions of other following sections of this Part as relate to this section or an order made under it —
trust account includes a bank account, whether a general or a separate account into which account, moneys received or held by an agent for or on behalf of any other person are or were required to be paid under this Part; and
agent includes a person who has carried on business as an agent at any time within a period of 12 months prior to the date of the making of the application under subsection (1).
[Section 92 amended: No. 59 of 1995 s. 40(1); No. 26 of 1999 s. 99(4); No. 55 of 2004 s. 1021; No. 58 of 2010 s. 134.]
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