Aged Care and Other Legislation Amendment Act 2025 (45 of 2025)

Schedule 1 Amendment of the Aged Care Act 2024

Insert:

178A Offences relating to non-permitted use of accommodation bonds

Offence for registered provider

(1) An entity commits an offence if:

(a) the entity is a registered provider; and

(b) the entity uses an accommodation bond; and

(d) at a particular time during the period of 5 years after the use of the accommodation bond, both of the following apply:

(i) an insolvency event (within the meaning of the Aged Care (Accommodation Payment Security) Act 2006) occurs in relation to the entity;

(ii) there is at least one outstanding accommodation payment balance (within the meaning of that Act) for the entity.

Penalty: 300 penalty units.

Offence for responsible persons

(2) A person commits an offence if:

(a) the person is a responsible person of a registered provider (the entity ); and

(b) the entity uses an accommodation bond; and

(d) the person knew that, or was reckless or negligent as to whether:

(i) the accommodation bond would be used; and

(ii) the use of the accommodation bond was not permitted; and

(e) the person was in a position to influence the conduct of the entity in relation to the use of the accommodation bond; and

(f) the person failed to take all reasonable steps to prevent the use of the accommodation bond; and

(g) at a particular time during the period of 5 years after the use of the accommodation bond, both of the following apply:

(i) an insolvency event (within the meaning of the Aged Care (Accommodation Payment Security) Act 2006) occurs in relation to the entity;

(ii) there is at least one outstanding accommodation payment balance (within the meaning of that Act) for the entity; and

(h) at the time the accommodation bond was used, the entity was a corporation.

Penalty: Imprisonment for 2 years.

Strict liability

(3) Strict liability applies to paragraphs (1)(d) and (2)(g) and (h).