137Grounds for refusal of licence to body corporate

137 Grounds for refusal of licence to body corporate (1) An application for a licence made by a body corporate shall be refused if it appears to the Director: (a) that a person concerned in the management of the body corporate has not attained the age of 18 years; or (b) that the body corporate is disqualified from holding a licence; or (c) that the body corporate does not have, or is not likely to continue to have, sufficient material and financial resources to carry on business as a dealer, having regard to the scope of the business operations which the body corporate proposes to Consumer Affairs and Fair Trading Act 1990 59 engage in as such and the liabilities which the body corporate may incur in connection therewith; or (d) that the body corporate is not likely to carry on business as a dealer honestly and fairly; or (e) that the reputation of the body corporate is such that it would not be a fit and proper person to hold a licence; or (f) that a director of, or a person concerned in the management of, the body corporate is not of good reputation or character or in any other way would not be a fit and proper person to be the holder of a licence if the director or person were to apply for a licence personally; or (g) that any person (other than an officer of the body corporate) who, in the opinion of the Director, appears to have control, or substantial control, of the body corporate is not of good reputation and character or is not likely to exercise that control honestly and fairly; or (h) that any person with whom, if the licence is granted, the body corporate intends to carry on business as a dealer in partnership is a person in respect of whom the Director would be required to refuse an application for the licence if that person were the applicant. (2) The Director shall also refuse an application for a licence by a body corporate if: (a) the body corporate fails to provide such banker's or other guarantee (if any) as the Director thinks it desirable to require; or (b) a director of, or a person concerned in the management of, the body corporate fails to comply with a requirement of the Director under section 133. (3) Without affecting the generality of subsection (1)(e), (f), (g) or (h), the Director may, in determining any matter referred to in those paragraphs, have regard (if such be the case) to the fact that the body corporate, or a person referred to in any of those paragraphs or associated with such a person within the meaning of the Corporations Act 2001: (a) has, during the period of 10 years immediately preceding the making of the application, been found guilty of, or served any part of a term of imprisonment for, an offence (wherever committed) involving fraud, dishonesty or physical violence; or Consumer Affairs and Fair Trading Act 1990 60 (b) was, at the time the application was made, bound in relation to such an offence by a recognisance; or (c) was, at the time the application was made, the subject of a charge in relation to such an offence; or (d) has at any time been found guilty of an offence against this Act, the regulations, or any other enactment administered by the Minister. (4) A body corporate which proposes to carry on the business of a dealer in partnership with another person or other persons is not to be refused a licence on the grounds specified in subsection (1)(c) if the Director is satisfied that the body corporate and the other person or persons together have, and are likely to continue to have, sufficient material and financial resources to carry on the business. (5) Regulations may prescribe criteria to be taken into account by the Director in assessing the adequacy of a body corporate's material and financial resources for the purposes of subsection (1)(c) or (as mentioned in subsection (4)) the adequacy for those purposes of the material and financial resources of a body corporate and another person or other persons.