sec.70IDuty to prevent insolvent trading

### sec.70I Duty to prevent insolvent trading A person who was a member of the management committee of an incorporated association, or took part in the management of an incorporated association, at the time the association incurred a debt commits an offence if— the association was insolvent at the time the debt was incurred or becomes insolvent by incurring that debt, or by incurring at that time debts including that debt; and immediately before the debt was incurred— there were reasonable grounds to expect that the association was insolvent; or there were reasonable grounds to expect that, if the association incurred the debt, the association would become insolvent. Maximum penalty—60 penalty units. In any proceedings against a person under subsection (1) it is a defence if the accused proves that— the debt was incurred without the accused’s express or implied authority or consent; or at the time the debt was incurred, because of illness or for some other good reason, the accused did not take part in the management of the association; or at the time the debt was incurred, the accused had reasonable grounds to expect, and did expect, that the association was solvent at that time and would remain solvent even if it incurred that debt and any other debts that it incurred at that time. s 70I ins 2020 No. 17 s 31 (sec.70I-ssec.1) A person who was a member of the management committee of an incorporated association, or took part in the management of an incorporated association, at the time the association incurred a debt commits an offence if— the association was insolvent at the time the debt was incurred or becomes insolvent by incurring that debt, or by incurring at that time debts including that debt; and immediately before the debt was incurred— there were reasonable grounds to expect that the association was insolvent; or there were reasonable grounds to expect that, if the association incurred the debt, the association would become insolvent. Maximum penalty—60 penalty units. (sec.70I-ssec.2) In any proceedings against a person under subsection (1) it is a defence if the accused proves that— the debt was incurred without the accused’s express or implied authority or consent; or at the time the debt was incurred, because of illness or for some other good reason, the accused did not take part in the management of the association; or at the time the debt was incurred, the accused had reasonable grounds to expect, and did expect, that the association was solvent at that time and would remain solvent even if it incurred that debt and any other debts that it incurred at that time. - (a) the association was insolvent at the time the debt was incurred or becomes insolvent by incurring that debt, or by incurring at that time debts including that debt; and - (b) immediately before the debt was incurred— (i) there were reasonable grounds to expect that the association was insolvent; or (ii) there were reasonable grounds to expect that, if the association incurred the debt, the association would become insolvent. - (i) there were reasonable grounds to expect that the association was insolvent; or - (ii) there were reasonable grounds to expect that, if the association incurred the debt, the association would become insolvent. - (i) there were reasonable grounds to expect that the association was insolvent; or - (ii) there were reasonable grounds to expect that, if the association incurred the debt, the association would become insolvent. - (a) the debt was incurred without the accused’s express or implied authority or consent; or - (b) at the time the debt was incurred, because of illness or for some other good reason, the accused did not take part in the management of the association; or - (c) at the time the debt was incurred, the accused had reasonable grounds to expect, and did expect, that the association was solvent at that time and would remain solvent even if it incurred that debt and any other debts that it incurred at that time.