340Application money to be held on trust (cf Corporations Act s 722)

340 Application money to be held on trust (cf Corporations Act s 722) (1) If a person offers debentures for issue under a disclosure statement, the person must hold: (a) all application money received from people applying for debentures under the disclosure statement; and (b) all other money paid by them on account of the debentures before they are issued; in trust under this section for the applicants until: (c) the debentures are issued; or (d) the money is returned to the applicants. (2) If the application money needs to be returned to an applicant, the person must return the money as soon as practicable.