Australian Charities and Not-for-profits Commission Act 2012 (Cwth)

CHAPTER 3 - RESPONSIBILITIES OF REGISTERED ENTITIES  

PART 3-1 - GOVERNANCE STANDARDS AND EXTERNAL CONDUCT STANDARDS  

Division 50 - External conduct standards  

SECTION 50-5   OBJECT OF THIS DIVISION  

50-5(1)    
The object of this Division is to give the public (including donors, members and volunteers of registered entities) confidence that:

(a)    funds sent outside Australia by registered entities:

(i) are reaching legitimate beneficiaries; and

(ii) are being used for legitimate purposes; and

(iii) are not contributing to terrorist, or other criminal, activities; and

(b)    activities engaged in outside Australia by registered entities are not contributing to terrorist, or other criminal, activities.

50-5(2)    
This Division achieves that object by setting up a system to allow the regulations to specify standards:

(a)    with which an entity must comply in order to become registered under this Act, and to remain entitled to be registered under this Act; and

(b)    regulating funds sent outside Australia by registered entities, and activities engaged in outside Australia by registered entities.

Note 1: The main consequence of failure to comply with these standards is a loss of the entity ' s entitlement to registration. Such a failure to comply may also result in enforcement action under Chapter 4 .

Note 2: For the consequences of registration, see section 20-5 .

Note 3: A registered entity must notify the Commissioner of significant non-compliance with these standards that results in the entity no longer being entitled to be registered (see section 65-5 ).