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[2024] AATA 95
appellant. The Tribunal set aside the decision under review and substituted a decision approving the nomination.
The Administrative Appeals Tribunal reviewed a delegate's refusal to approve an employer nomination for a restaurant manager. The delegate had refused because they were not satisfied the employer could afford to employ the nominee for two years. The Tribunal reviewed the employer's financial statements, tax returns, payslips showing ongoing employment, employment contracts and salary benchmarking data. The Tribunal found the employer had the financial capacity and that the terms of employment were no less favourable than for comparable Australian workers. The Tribunal also treated regional certifying body advice as informative but not conclusive, and excluded material supplied after the deadline because the applicant had no entitlement to a hearing after failing to respond in time. The Tribunal set aside the delegate's refusal and approved the nomination.
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1,830 words · generated 29/07/2026
1 cited instrument linked from this judgment.
Continental Foods Pty Ltd applied on 4 March 2018 for approval of a Direct Entry nomination under reg 5.19 of the Migration Regulations, identifying Mr Kapil Bhatia as an intended Restaurant Manager (ANZSCO 141111). A delegate refused the nomination on 26 February 2020, concluding the nominator lacked the financial capacity to sustain employment of the nominee for at least two years as required by reg 5.19(4)(d). The applicant sought review in the Administrative Appeals Tribunal.
The Tribunal invited the applicant to provide updated information under s 359 of the Migration Act; the invitation was sent on 11 August 2023 with a stated deadline (the decision record records the deadline as 25 August 2024, though the Tribunal notes the applicant did not supply material within the prescribed period). The applicant subsequently provided material on 28 and 29 August 2023, but the Tribunal determined that, because the applicant had not complied with the invitation within the time and had not been granted an extension, the statutory provisions (s 359C and s 360(3)), together with s 363A and the authority of Hasran v MIAC, meant the applicant had no entitlement to appear and the Tribunal had no power to permit appearance. The Tribunal therefore proceeded without regard to the late material [see Statement of Decision paras 5-7].
Having considered the Department file and the admissible evidence (ASIC registration, business trading as Sforno, financial statements and tax returns for 2022 and 2023, payslips evidencing the nominee's employment since at least 15 June 2020, employment contracts, organisation chart, Form 1404 from the regional certifying body, job advertisements and remuneration benchmarking), Member Maishman was satisfied that each element of the Direct Entry criteria in reg 5.19(4) was met. The Tribunal set aside the delegate's decision and substituted a decision approving the nomination (Decision) (final disposition).
The Tribunal’s reasoning followed a straightforward statutory-merits approach: reg 5.19(4) sets out cumulative criteria. If each criterion is satisfied on the evidence before the decision-maker, approval must be granted.
Key elements of the Tribunal's reasoning were:
Compliance with form/fee and identification of the employment need (reg 5.19(4)(a)): the Tribunal accepted that the application was in approved form, included the required certification and paid the fee (see section headed "The application is compliant: reg 5.19(4)(a)").
The nominator is actively and lawfully operating the business and directly operates it (reg 5.19(4)(b)): ASIC records, declared trading name and financial reports led the Tribunal to accept the business was lawfully operating at Munno Para (see "Nominator is actively and lawfully operating a business in Australia: reg 5.19(4)(b)").
The position was not labour hire and would be in the nominator’s direct employ (reg 5.19(4)(c)): evidence of the employment contract and organisation chart satisfied the Tribunal on that point.
Financial capacity and term of employment (reg 5.19(4)(d)): the delegate had refused for lack of financial capacity. The Tribunal placed weight on the 2022 and 2023 financial reports and tax returns showing modest profits, together with payslips showing the nominee was employed since at least 15 June 2020 and employment contracts that did not expressly exclude extension. On that basis the Tribunal concluded the nominator had the capacity to employ the nominee for the requisite period and the contract did not preclude extension (see "Term of employment of the visa holder: reg 5.19(4)(d)").
No less favourable terms and conditions (reg 5.19(4)(e)): the employer offered $65,000 p.a., exclusive of superannuation, and the Tribunal compared this against salary data from SEEK, PayScale and Job Outlook. The Tribunal concluded the offered terms were at the higher end of available ranges and therefore no less favourable (see "No less favourable terms and conditions of employment: reg 5.19(4)(e)").
Regional criteria, tasks and training (reg 5.19(4)(h)(ii)): the Tribunal accepted that Munno Para was regional for the purpose of the instrument in force at the time, that the position could not be filled locally having regard to advertised vacancies and the RCB opinion, that the tasks corresponded to ANZSCO 141111, and that the nominee’s Diploma made the occupation applicable (see "Tasks of the position... reg 5.19(4)(h)").
Regional Certifying Body advice (reg 5.19(4)(h)(ii)(F)): the Tribunal accepted the Form 1404 from the South Australian Department of State Development but emphasised that such certification is not decisive, the Tribunal must form its own view, consistent with Bharaj Construction Pty Ltd v MIBP.
Procedurally, the Tribunal applied the statutory regime for invitations and entitlement to appear. The Tribunal excluded late material because the applicant had not complied with the invitation in time and no extension was granted; the Tribunal relied on ss 359C and 360(3), and s 363A (and cited Hasran) when concluding it had no power to permit an appearance or to admit the late evidence.
In sum, the Tribunal was able to reach a merits conclusion in favour of the applicant based on the admissible evidence on file.
Before this decision, the statutory position is unchanged: reg 5.19(4) has always been the controlling provision for Direct Entry nominations. Two points of jurisprudential significance are reiterated:
Regional certifying body advice is material but not determinative. The Tribunal expressly adopts the position articulated in the Federal Circuit Court decision Bharaj Construction Pty Ltd v MIBP [2016] FCCA 902; while a Form 1404 is required, the Tribunal must ultimately satisfy itself that the regulatory criteria are met.
The procedural limitation on admission of late evidence after a s 359 invitation is effective: s 359C and s 360(3) can remove an applicant's entitlement to a hearing and s 363A prevents the Tribunal from permitting an appearance once entitlement is lost; the Tribunal relied on Hasran v MIAC as authority for that proposition.
After this decision, the practical guidance for practitioners is clear: where an applicant has been invited to provide material under s 359, failure to comply in time (and without an extension) risks the Tribunal proceeding on the existing record and excluding late material; and, on merits review, tribunals will scrutinise the same types of commercial evidence (financial reports, tax returns, payslips, contracts, RCB advice and remuneration benchmarking) to determine whether each element of reg 5.19(4) is met.
This decision does not alter legal principles, but it confirms how the Tribunal will weigh the common categories of evidence and reinforces the non-determinative status of RCB certification.
"The Tribunal sets aside the decision under review and substitutes a decision approving the nomination."
"The effect of s 363A of the Act is that if a review applicant has no entitlement to a hearing, the Tribunal has no power to permit it to appear: Hasran v MIAC [2010] FCAFC 40. The Tribunal has decided to proceed to decision without taking into account the information that was provided on 28 and 29 August 2023."
"Consistent with the decision ... in Bharaj Construction Pty Ltd v MIBP ... certification by a regional certifying body is not sufficient or determinative ... Accordingly, the Tribunal notes that, whilst having regard to the advice provided by the regional certifying body, it has reached its own conclusions..."
"The Tribunal is satisfied the has the financial capacity to employ the nominee for at least two years and there is no express exclusion to the nominee's employment being extended."
This decision is directly relevant when:
An employer nominates a specific person under the Direct Entry stream (reg 5.19(4)) and the delegate refuses based on perceived lack of financial capacity to sustain the employment term required by the regulations.
An applicant fails to respond to a Tribunal s 359 invitation within the time specified and then supplies material after the deadline.
A regional nominator relies on Form 1404 certification from an authorised regional certifying body and expects that certification alone will secure approval.
In such fact patterns, practitioners should ensure timely compliance with AAT invitations, maintain contemporaneous financial records and payslips showing ongoing employment, ensure employment contracts do not undermine the statutory requirement for at least two years, and prepare RCB certification as supportive evidence rather than conclusive proof.
This decision itself cites earlier authorities (Bharaj Construction and Hasran) and applies their principles. The decision record does not discuss any later appellate treatment of its own reasoning. Therefore, within this decision you will not find analysis of how later courts have treated Continental Foods; it remains a Tribunal merits decision applying established authority. Users should check subsequent decisions and appellate courts for any adoption, distinction or reversal of the principles applied here.
Several practical and doctrinal questions remain for future cases:
Quantifying financial capacity: The Tribunal found modest profits together with payslips and contracts sufficient. What precise quantum or standard of proof constitutes 'financial capacity' in marginal cases is still a fact-sensitive question and remains open for further refinement by appellate courts.
Interaction between RCB advice and Tribunal fact-finding: While the Tribunal stressed RCB certification is not determinative, the boundary between giving appropriate weight to the RCB’s regional labour-market assessment and undertaking independent labour-market inquiries could generate contested outcomes in other factual scenarios.
Timing/format of s 359 invitations and consequences: The decision records an apparent date inconsistency for the deadline in the invitation (the document records a 2024 deadline though the invitation was in 2023). The statutory framework is clear about consequences of non-compliance, but administrative practice (clarity of deadlines, extensions, and procedural fairness) may remain sensitive where inadvertent administrative error or ambiguity exists. That procedural nuance could attract litigation if a tribunal’s notice is unclear and the applicant misses a deadline through no fault of their own.
Weight to benchmark salary sources: The Tribunal relied on SEEK, PayScale and Job Outlook. The admissibility and persuasive weight of various commercial salary surveys remain context-dependent; different tribunals or courts may assess comparative data differently.
Practitioners should therefore continue to present comprehensive financial and employment documentation, ensure strict compliance with procedural invitations, and treat RCB certification as an important but not conclusive component of the evidence to be marshalled on review.
Continental Foods Pty Ltd (Migration) [2024] AATA 95 (18 January 2024)
REPRESENTATIVE: Mr Vikram Jeet Singh (MARN: 1572276)
DECISION: The Tribunal sets aside the decision under review and substitutes a decision approving the nomination.
MIGRATION - application for approval of nomination of position - direct entry nomination stream - restaurant manager - information provided after prescribed period - no entitlement to hearing - financial capacity to employ nominee - financial reports and tax returns - modest profits and ongoing employment - decision under review set aside
Migration Act 1958 (Cth), ss 359, 359C, 360(3), 363A
Bharaj Construction Pty Ltd v MIBP [2016] FCCA 902
Hasran v MIAC [2010] FCAFC 40
Nominator is actively and lawfully operating a business in Australia: reg 5.19(4)(b)
Term of employment of the visa holder: reg 5.19(4)(d)
No less favourable terms and conditions of employment: reg 5.19(4)(e)
No adverse information known to Immigration: reg 5.19(4)(f)
Satisfactory compliance with workplace relations laws: reg 5.19(4)(g)
Tasks of the position, genuine need for the position and training requirements reg 5.19(4)(h)
There is a genuine need for the paid position under the nominator's direct control which cannot be filled by a locally resident Australian citizen or permanent resident
• Ensuring compliance with licensing , hygiene and health and safety legislation/guidelines
• Overseeing stock levels. Ordering supplies, Producing staff rosters
• Liaising with customers to assess their satisfaction with meals and service.
• Liaise with suppliers , licensing authorities , sales representatives, etc.
• Making improvements to the running of the business.
• Formulating and implementing policies and plans for advertising, public relations , sales and
• Initiate marketing strategies and coordinate actions to influence the market.
• Set sales targets and define a strategy to achieve these targets and to follow the set strategy
• Directing sales methods and arrangements by setting prices and credit arrangements.
• Manage product sales growth and individual sales effectiveness by reviewing sales activity
• Built pricing opportunities to encourage repeat sales.
• Understands the customer's need and to build & maintain excellent relationships with
• Pursue a long -term account strategy that maximized profits and assisted in cultivating long term
relationships with the appropriate decision makers.
• Planning and organise special functions, in-house or outdoor catering.
• Support marketing activities, website maintenance, handling queries, mailings etc.
ATTACHMENT - EXTRACTS FROM THE MIGRATION REGULATIONS 1994
5.19 Approval of nominated positions (employer nomination)
(a) be made in accordance with approved form 1395...; and
(aa) include a written certification by the nominator stating whether or not the nominator has engaged in conduct, in relation to the nomination, that constitutes a contravention of subsection 245AR(1) of the Act; and
(b) be accompanied by the fee mentioned in regulation 5.37.
(4) The Minister must, in writing, approve a nomination if:
(a) the application for approval:
(i) is made in accordance with subregulation (2); and
(ii) identifies a need for the nominator to employ an identified person, as a paid employee, to work in the position under the nominator's direct control; and
(b) the nominator:
(i) is actively and lawfully operating a business in Australia; and
(ii) directly operates the business; and
(c) for a nominator whose business activities include activities relating to the hiring of labour to other unrelated businesses - the position is within the business activities of the nominator and not for hire to other unrelated businesses; and
(d) both of the following apply:
(i) the employee will be employed on a full-time basis in the position for at least 2 years;
(ii) the terms and conditions of the employee's employment will not include an express exclusion of the possibility of extending the period of employment; and
(e) the terms and conditions of employment applicable to the position will be no less favourable than the terms and conditions that:
(i) are provided; or
(ii) would be provided;
to an Australian citizen or an Australian permanent resident for performing equivalent work in the same workplace at the same location; and
(f) either:
(i) there is no adverse information known to Immigration about the nominator or a person associated with the nominator; or
(ii) it is reasonable to disregard any adverse information known to Immigration about the nominator or a person associated with the nominator; and
(g) the nominator has a satisfactory record of compliance with the laws of the Commonwealth, and of each State or Territory in which the applicant operates a business and employs employees in the business, relating to workplace relations; and
(h) either:
(i) all of the following apply:
(A) the tasks to be performed in the position will be performed in Australia and correspond to the tasks of an occupation specified by the Minister in an instrument in writing for this sub-subparagraph;
(AA) there is a genuine need for the nominator to employ the person identified under subparagraph (a)(ii), as a paid employee, to work in the position under the nominator's direct control;
(AAA) the occupation is applicable to the person identified under subparagraph (a)(ii) in accordance with the specification of the occupation;
(I) the nominator's business has operated for at least 12 months, and the nominator meets the requirements for the training of Australian citizens and Australian permanent residents that are specified by the Minister in an instrument in writing for this sub-sub-subparagraph; or
(II) the nominator's business has operated for less than 12 months, and the nominator has an auditable plan for meeting the requirements specified in the instrument mentioned in sub-sub-subparagraph (I); or
(B) there is a genuine need for the nominator to employ the person identified under subparagraph (a)(ii), as a paid employee, to work in the position under the nominator's direct control;
(C) the position cannot be filled by an Australian citizen or an Australian permanent resident who is living in the same local area as that place;
(D) the tasks to be performed in the position correspond to the tasks of an occupation specified by the Minister in an instrument in writing for this sub-subparagraph;
(DA) the occupation is applicable to the person identified under subparagraph (a)(ii) in accordance with the specification of the occupation;
(E) the business operated by the nominator is located at that place;
(I) specified by the Minister in an instrument in writing for this sub-subparagraph; and
(II) located in the same State or Territory as the location of the position;
has advised the Minister about the matters mentioned in paragraph (e) and sub-subparagraphs (B) and (C).
Bharaj Construction Pty Ltd
MIBP
The Tribunal set aside the decision under review and substituted a decision approving the nomination.