Corporations Act 2001

CHAPTER 2D - OFFICERS AND EMPLOYEES  

PART 2D.6 - DISQUALIFICATION FROM MANAGING CORPORATIONS  

Note: This Part does not apply to a CCIV: see section 1224E .

SECTION 206C   COURT POWER OF DISQUALIFICATION - CONTRAVENTION OF CIVIL PENALTY PROVISION  

206C(1)    
On application by ASIC, the Court may disqualify a person from managing corporations for a period that the Court considers appropriate if:

(a) a declaration is made under:

(i) section 1317E (civil penalty provision) that the person has contravened a corporation/scheme civil penalty provision or subsection 670A(4) , 727(6) , 728(4) or 1309(12) ; or

(ii) section 386-1 (civil penalty provision) of the Corporations (Aboriginal and Torres Strait Islander) Act 2006 that the person has contravened a civil penalty provision (within the meaning of that Act); and

(b) the Court is satisfied that the disqualification is justified.

206C(2)    
In determining whether the disqualification is justified, the Court may have regard to:

(a) the person ' s conduct in relation to the management, business or property of any corporation; and

(b) any other matters that the Court considers appropriate.

206C(3)    

To avoid doubt, the reference in paragraph (2)(a) to a corporation includes a reference to an Aboriginal and Torres Strait Islander corporation.